We have been thrilled to welcome many new clients in recent months. While bringing them on board, we've noticed that many have not been taking the following basic business deductions: auto expenses and mileage, business travel, home office use, health insurance, and office equipment. Keep reading to make sure you take full advantage of these deductions for your business.

Auto Expenses and Mileage

If you use your personal vehicle for your business, you can get reimbursed for a portion of the purchase price of your vehicle as well as operating costs. If you take this deduction, be prepared to prove it by keeping good records. 

You can start by locating records of the purchase price of your vehicle.

To separate personal miles from business miles, you can keep your own log in a spreadsheet, but we know a small business owner likely doesn't have the time for that. That's why we recommend using an app like Everlance. Everlance allows you to use GPS to track mileage used for business and keeps those miles in a neat report for you to give to your bookkeeper.

Home Office Expenses

You may be able to receive tax-free reimbursements for maintaining an office in your home as an owner-employee of your company.

You and your company should document a valid business reason for having an office at your home. You should also measure to find the total square footage of your home and the square footage of the office space used regularly and exclusively for business purposes.

Once that is done, your company can deduct a portion of your housing cost and you get a tax-free reimbursement of your living expenses such as rent/mortgage, utilities, improvements, and maintenance.

Mobile Devices and Tablets

You can either purchase your electronic devices and have the company reimburse you, or you can have the company purchase them outright.

Health Insurance

If there is not already a company-sponsored health insurance benefit plan, your company may be able to set up a Health Reimbursement Arrangement (HRA) that pays for much of your healthcare costs.

Note that this does not apply to you if you are the only employee of an S-Corporation that you own.

Business Travel Expenses

Business travel can be paid for or reimbursed by the company if all these conditions are met:

Want to make sure you aren't missing out on ANY deductions? Click here to schedule an appointment with one of Gold Standard's seasoned tax accountants.

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