Was originally published on May and updated on October . Tax time often delivers a mix of questions and doubt to every small business owner. Are you declaring all your income and expenses? Where is that shoebox of paperwork and receipts? What sort of small business tax deductions can you claim? Are there smart but legit ways you can pay less tax? That last one is The Question we all want answered. Small business tax deductions you could claim There are urban legends of business owners being able to claim seemingly ridiculous expenses as tax deductible.
But what are legitimate deductions for a small business? Tax Office (ATO) to red flag you for an audit because you pushed the boundaries of your small business deductions. This is why it’s super important to make sure you keep all your receipts and tax invoices relating to the business expenses you claim USA WhatsApp Number List Staff and subcontractor wages This covers the wages, salaries, commissions, superannuation and taxable fringe benefits for your employees. Small Business Tax Deductions Restaurant Worker Businesses can write off employee wages as well as those paid to contractors. If you don’t have staff, you should claim the contract labor you use like your Virtual assistant Graphic designer.
Copywriters Marketing consultants Don’t forget any tradespeople you hired throughout the year for repairs and maintenance. It’s also important to understand whether your worker is an employee or subcontractor. This useful tool from the Australian Taxation Office should help make sure you are managing your employment obligations. Marketing expenses Be sure to claim any expense you incurred to promote your business! This includes advertising online or in magazines and newspapers as well as printing costs for your marketing collateral. It also includes expenses for subscriptions to your email marketing software, your social media scheduler and your search engine optimisation service.