It’s hard to believe, but before we know it – tax season will be here again. If you’re a business owner, knowing how to file business expenses is an essential skill. At the end of the year, the more expenses you’re able to write off will be reflected in a larger profit. Here’s a few things to think about when it comes to Business Expenses 101.
6 Tips for Handling Business Expenses Come Tax Season
- Be realistic (and honest!) about what a true business expense is.
- If your business required you to enroll in education or certification courses, include those expenses.
- Was this your first year of business? Talk to your accountant or tax advisor about the capital costs necessary to get off the ground.
- Only include expenses that had a true business purpose.
- Keep track of products that customers received, but never paid for.
- Don’t forget to keep track of mileage on your car for any business related driving.
Are you a small business owner? Got any tips to share for how to file businesses expenses?
