5 Surprising Tax Deductions for Bloggers
Working bloggers tend to fall into one of just a few categories.
- There are those who started a blog for fun as a way to explore and share their passion for a topic, only to discover that blogs can be monetized (a proposition which quickly led them to download AdSense and start the money-making process).
- And there are bloggers that started as writers and ended up getting hired on by a company to pen their on-site blog.
- Finally, there are freelance writers who peddle their wares to a variety of blogs, writing on a diverse array of topics.
Regardless of what type of blogger you happen to be, chances are pretty good that you work from home and you are self-employed. You can (and should) take advantage of the many write-offs allowed to those that must foot the entire bill for their taxes. And here are a few surprise deductions that could help you out.
1. Internet.
Okay, so you probably already know that you can deduct the monthly cost of your internet service, along with any software, computer equipment, and other electronics you purchase (smartphone, tablet, etc.) for your business.
What you may not be aware of is that you may also write off any fees associated with web design, web hosting, domain registration, SEO, and so on. Anything you spend in the interest of keeping your blog operating in the online arena has the potential to be used as a write off.
2. Advertising.
Nearly anything you do to advertise your business may be deductible, and there’s a lot more to it than just joining a paid ad-share. Suppose you hire an artist to design a logo, you purchase products for promotions or giveaways on your blog, or you decide to create a viral video campaign. All of these qualify as advertising promotional tools and so they may be written off.
3. Travel.
Most business-related travel expenses can be deductible. This includes not only your airfare, hotel, and transportation while you’re away, but also your meals, the cost of entertaining clients, and any fees you pay for conferences related to your business.
Just be careful not to overreach with personal expenses. For example, you can’t write off the cost of kenneling your dog during travel as it is not considered a business expense.
4. Professional memberships.
While most bloggers already know that they can write off fees they pay to participate in professional forums and other business associations, you might not know that signing up for publications (real-world or online) and purchasing books, tutorials, or other learning materials related to your business could also qualify for deduction.
5. Accountants and lawyers.
You may be tempted to save some money by doing your own taxes, but a qualified tax professional who has experience with your job type can tell you about all kinds of write-offs you might not otherwise know about. And you can deduct the cost of filing this year’s taxes on next year’s return!
So you could actually save more by hiring a tax specialist. And when it comes to contract creation, tax resolution, or even legal advice for your business, you may be able to deduct those expenses, as well. So don’t hesitate to go pro when you have the need.
Evan Fischer is a contributing writer for Professional Tax Resolution where you can learn about tax deductions, IRS tax settlements, and a variety of other tax related topics.
Home office space is another big deduction!
Home office space is another big deduction!
That’s true, Ed. Although you need to be careful about deducting only the percentage of your space that you actually use for doing your work. I’m not sure of all the ins and outs, but it would be a good idea to check with your tax preparer or with the IRS on this, just to be sure you aren’t over-deducting or under-deducting.
That’s true, Ed. Although you need to be careful about deducting only the percentage of your space that you actually use for doing your work. I’m not sure of all the ins and outs, but it would be a good idea to check with your tax preparer or with the IRS on this, just to be sure you aren’t over-deducting or under-deducting.
My tax preparer always asks for the dimensions of my office, but the trick is that I need to only use that space for work. There may be some other things to keep in mind, but that’s usually one of my deductions.
My tax preparer always asks for the dimensions of my office, but the trick is that I need to only use that space for work. There may be some other things to keep in mind, but that’s usually one of my deductions.
That’s what I do, too. So, if you’re dinking around on Facebook or scrapbooking or reading trashy novels from your office on your own time, you can’t deduct that space. I think that’s correct. Any tax preparers out there who can confirm this?
That’s what I do, too. So, if you’re dinking around on Facebook or scrapbooking or reading trashy novels from your office on your own time, you can’t deduct that space. I think that’s correct. Any tax preparers out there who can confirm this?
What about products you write about. Say I write a review of a ski rental facility and the skis I rented from them. Could I deduct the cost of my ski rental as a research cost?
What about products you write about. Say I write a review of a ski rental facility and the skis I rented from them. Could I deduct the cost of my ski rental as a research cost?
Great post! Do you have to have a business license to claim these things?
Great post! Do you have to have a business license to claim these things?