Does anyone else feel like they are often drowning in the many different subscriptions that are necessary to make your world go around? While they are only a few dollars here and there, when you are paying for ten of them, the price seems to add up quickly. There are seemingly subscriptions for absolutely every part of your life. Whether it is a streaming subscription or a music subscription, they are getting out of control. Have no fear though, there are some subscriptions that could be tax deductible. Mark Dicus & Company is here to talk about some of the streaming subscriptions you have and what can be done at tax time with them.
Can You Write Off Subscriptions on Taxes?
While it is a relief to find out that subscriptions can be tax deductible, it is also important that you understand WHAT subscriptions are tax deductible. Yes, you read that right, not all subscriptions are going to be something you can deduct from your taxes. The only time you can deduct them is if they are in direct relation to your business and the way that your business functions. Some subscriptions that could be a deduction include but aren’t limited to:
– Professional, medical, trade or technical journals that are needed to and relate to directly to your business
– Professional material subscriptions that keep your business going like ink or copy paper subscriptions
– Any business phone plan
– Any electricity, internet or other plans that are necessary for your home office to function
– Website hosting fees
– Dues for any professional subscription or organization
Can I Write Off Subscription Expenses if I Don’t have a Business?
If you don’t own and run your own business, you aren’t going to be able to take advantage of any subscriptions deductions. While there may be some hobbies that you have the could count as a business, you would need to make it official before you could deduct any of your subscriptions.
Are Streaming Subscriptions Tax Deductible?
The only way that you could deduct your video streaming like Netflix or Hulu is if you have to have it so that your customers and guests can watch it in your waiting room at the office. Otherwise, you are out of luck. Same goes for any of the audio streaming you do with platforms like Spotify and Apple Music. If you need those services for your waiting room at the office and your customers enjoy them, then you can look into deducting them from your taxes.
Tax Preparation, Filing, Planning & More in Salt Lake City, St. George, West Valley City, Provo, Orem, West Jordan & Greater Cedar City, Utah
Making the right deductions can be a complicated thing to take on as a business owner. That is why Mark Dicus & Company is here to help. We know exactly what the rules are as far as deductions for your small business are concerned. We will make sure you are taking advantage of any deductions that your business is eligible for. Call us today!