Not many business owners enjoy tax time, but it\u2019s something that has to be done on time and done accurately. It can be a burdensome and difficult task. It’s not all bad though, as many small businesses are eligible for attractive tax deductions.\u00a0 Unfortunately, many of these deductions remain unclaimed by business owners.<\/p>\n
Make sure that you are claiming all tax deductions that are relevant to your business. These are the top 6 deductions that are missed:<\/p>\n
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Any expenses that you incurred before you officially launched your business can be claimed on your tax return. Some examples of such expenses are:<\/span><\/p>\n These startup costs, up to $5,000, can be deducted during your first year in business. Any startup expenses exceeding $5,000 can be amortized over a period of 15 years, up until $50,000. Thereafter, limitations apply.<\/p>\n If you were unable to apply certain tax deductions in previous years, you can carry them over. These include charitable contributions, capital losses and any large purchases that need to be amortized over multiple years. Unfortunately, many business owners forget about these carryovers at the next tax time. You can deduct for many bank charges, for example check ordering, ATM withdrawal and annual credit card fees. If you run your business from home, you can often claim a tax deduction for the following home-office expenses:<\/span><\/p>\n This deduction often remains unclaimed because two strict conditions apply:<\/p>\n A percentage of your car expenses can be claimed as a business expense or as a deduction on your personal taxes, if you use your personal vehicle for business purposes.<\/span><\/p>\n These expenses can include insurance, gas, repairs and servicing, parking and toll fees or you can claim based on mileage, tolls and parking. It\u2019s important to keep all proof of expenses that pertain to business travel.<\/p>\n Your business could qualify for tax credits if you provide your employees with healthcare through the Small Business Health Options Program Marketplace. The credit consists of up to 50% of your premium contributions. If you struggle with business accounting, as do many business owners, use the services of a certified accountant who is proficient in US taxes.<\/span><\/p>\n\n\n
2. Carryovers<\/b><\/h2>\n
<\/span><\/p>\n3. Bank charges<\/b><\/h2>\n
<\/span><\/p>\n4. Home office costs<\/b><\/h2>\n
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5. Personal vehicle used for business<\/b><\/h2>\n
6. The Small Business Health Care Tax Credit<\/b><\/h2>\n
These are the qualification criteria:<\/span><\/p>\n\n
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