list of tax deductions for small business

#LIST OF TAX DEDUCTIONS FOR SMALL BUSINESS LICENSE#
#LIST OF TAX DEDUCTIONS FOR SMALL BUSINESS PROFESSIONAL#

You can deduct expenses spent on the business use of a workspace in your home. However, golf club memberships don’t qualify for small business tax deductions. You can also deduct annual dues or fees paid for trade or commercial associations and magazine subscriptions as long as they are expenses you incurred to earn business income.

#LIST OF TAX DEDUCTIONS FOR SMALL BUSINESS LICENSE#

You can deduct annual license fees, such as beverage, trade, or motor vehicle licenses, and certain business taxes, such as municipal taxes, land transfer taxes, gross receipt taxes, health and education taxes, and hospital taxes. Business Taxes, Licenses, and Memberships The sponsorship of local sports teams and branded charitable donations as long as the materials include your branding and logoĤ.Promotional materials, such as business cards and pamphlets.Ads placed in Canadian newspapers and magazines.Money spent on advertising on Canadian radio and television stations.This includes any money spent on business cards, promotional gifts, or ads. Business Advertising and Promotional Expensesīusiness owners and contractors can claim expenses used for advertising and promotional purposes as small business tax deductions.

#LIST OF TAX DEDUCTIONS FOR SMALL BUSINESS PROFESSIONAL#

We advise that business owners speak to a tax professional for more information. You can’t claim bad debts related to a mortgage or debts that result from a conditional sales agreement. If a client owes you money, but you’re unable to collect it within a year, you may be able to claim it as a deduction if it was categorized as income for the year.

You can also deduct any legal fees paid during the year to collect or establish the right to collect salary or wages. Accounting and Legal FeesĪccording to the Canadian Revenue Agency (CRA), you can deduct “reasonable” fees related to accounting, bookkeeping, tax preparation, and finances. And remember to keep organize your receipts related to business purchases. We’ve created an exhaustive list of small business tax deductions to help you maximize your savings. Keep in mind that the small business tax deductions are allowable expenses that help lower your taxable income, which is much different from small business tax credits that when applied, directly reduce your final tax amount owed to the CRA. Luckily, there are many available tax write-offs you can use to reduce your overall tax bill. I f you’re self-employed or a small business owner, you understand how quickly business expenses can add up.

List of tax deductions for small business