If you’re a small business owner, there are many deductions available to you if you know what to watch. To reduce your tax liability and save money with the Internal Revenue Service (IRS) each year, there are deductions common to keep in mind:
Deductions start-up costs: These are deductible expenses accumulated by the start of your business. You can deduct up to $ 5,000 in start-up and $ 5,000 in organizational expenses during the first year of operation. These deductions are valid if they were paid or incurred after October 22, 2004. There are different rules for expenditures before that date or if your fees exceed $ 50,000. Expenses that are not covered can be amortized over a period of 180 months, as soon as you open your business. These include market research, advertising, employee training, and others.