7 Business Tax Deductions in Hawaii
All company owners today should benefit from business tax deductions in Hawaii. As taxpayers, everyone should be able to keep more of their money in their pockets and minimize the tax bill, when possible.
But even though some business tax deductions on Hawaii are downright obvious, others might not be so evident.
Whether you own a small business or a large company, you should always consider hiring a trustworthy tax preparation service. All business owners want to save money, so working with the best in the tax industry is the first step towards paying less than you need to the IRS.
But what exactly can you deduct as a business? Take a look at the 7 most common business tax deductions in Hawaii and make sure you take advantage of our checklist this tax season.
1. Business tax deductions in Hawaii include car and other transportation expenses
Do you drive a lot in the interest of your business? Then make sure you deduct your company expenses! Keep track of your where you went and how much it cost and let your tax preparer know about the details. You can deduct the cost of gasoline, parking and even tolls.
2. You can deduct your home office as a business in Hawaii
If you own a home based business, or conduct part of your tasks from home, you can deduct part of your expenses and lower your tax bill in the process. Always consult with a certified tax preparer in order to avoid any legal trouble and make sure you respect the law as a business.
3. Lower your tax bill by purchasing new equipment or office supplies for your business
Do you need to buy new equipment to help run your business? Then you have one more item to add to your business tax deductions in Hawaii.
4. Freelancers, contractors or professional services can be added to your list of business tax deductions
Professional services such as tax preparation and accounting, hiring consultants or freelancers to help you run a successful business are deductible. Make sure you pay these professionals reasonable fees so you can take advantage of this business tax deduction for businesses in Hawaii.
5. Business night out and entertainment? You can deduct these expenses as well
If you need to discuss business with your clients over dinner, know that you can deduct these expenses as well. Although you can’t deduct 100% of your meals or drinks, you can still schmooze your clients outside of your office and talk to an accountant about deducting your bill.
6. Don’t forget to deduct your utilities that serve your business in Hawaii
Your phone plan, electric bill or other utilities can also help lower your tax bill at the end of the fiscal year. Just make sure you landline is registered on your business and consult with your CPA about deducting your other utilities as well.
7. Marketing and advertising expenses can be deducted in Hawaii as well
Marketing a business can get very expensive! But you can add these costs to your list of business tax deductions in HawaiI! A new website, flyers or even your business card costs can be deducted, as long as they are branded for your own business.