Business cards you have made are another potential write-off that falls under occupational operating expenses. If you work from home, you can have a shared internet account for both home and business use and deduct a portion of the monthly cost for business purposes, or you can have a separate business account (we recommend a separate business account if possible as it avoids challenges with allocating use between personal and business). Web hosting fees and the cost of internet services are also operating expenses. The cost of advertising yourself, your services, or your products would fall into this category. While there are many tax benefits of being an independent contractor, here are our suggestions as the top 10 potential write-offs for independent contractors. Your deductions should include all necessary and ordinary expenses associated with your work. It's in your best interest to be aware of the items you can write off as a cost of doing business. The IRS does not step in to correct your return should you fail to claim a deduction for which you are qualified. ![]() It's important to know what tax deductions you qualify for so you can keep detailed records like receipts and invoices as proof for when it is time to file your itemized deductions. Some examples of independent contractors include truck drivers, writers, real estate brokers, and web designers. Top 10 Write-Offs for Independent ContractorsĪre you newly in business for yourself as an independent contractor? An independent contractor is defined as a person or business that provides goods or services to another entity under a verbal agreement or specified contract.
0 Comments
Leave a Reply. |