Tax deductions for bloggers.
Taxes can be frustrating. There is no nice way to say it. But there is one thing everyone likes- Deductions! I think a lot of people take up blogging as a potential revenue stream because there are minimal start-up costs. You don’t need much outside your computer. But, like all hobbies or businesses, there are expenses. Even if you have been tracking your expenses and income, you might not be sure if you have forgotten anything. You don’t want to miss anything! I’ve compiled a list of 15 tax deductions for bloggers to help you out.
(This post includes affiliate links. All opinions are my own.)
What's In This Post?
- Tax Deductions for Bloggers
- Good News! I know that bloggers have a ton of questions about the tax and business side of running a blog. It’s a small business after all. To help out I have a new resource for all things blogging and taxes: SimpleBlogTaxes.com
- This site has everything you need to know about filing your taxes as a blogger. It has easy to understand explanations along with best practices for running your small business.
- Site Maintenance
- Online Fees
- Advertising Fees
- Accounting Fees
- Post Office Box
- Legal and Professional Fees
- Business Licensing
- Office Expenses
- Costs of Good Sold
- Continuing Education
- Contract Fees
- Charitable Donations
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Tax Deductions for Bloggers
If you are making money on your blog it is important to know what can and cannot be deducted on your taxes. Here are some things to keep in mind.
Good News! I know that bloggers have a ton of questions about the tax and business side of running a blog. It’s a small business after all.
To help out I have a new resource for all things blogging and taxes: SimpleBlogTaxes.com
This includes things like registering your domain, site hosting, and any themes you purchase. (Yep, including parent and child themes.) Plugins, anti-spam programs, any stock photography you purchase may qualify as well. If you pay a designer to create your logo for you, that might also qualify.
Scheduling programs such Tailwind are potential deductions. Design software such as Photoshop, Canva, and Picmonkey are possibilities if you have a paid account. Email programs such as MailChimp and ConvertKit are potential deductions as well. Did you run any Facebook ads or promote any pins on Pinterest? Keep track of that as well.
If you have printed up business cards or letterheads these would be considered advertising fees.
If you pay a bookkeeper to track your income and expenses for you, or if you pay an accountant to complete your taxes.
Any physical mail you send out for blogging purposes, for example, if you run a giveaway where you send the prize out, can be deducted.
Post Office Box
A post office box purchased for blog purposes may be deductible.
Legal and Professional Fees
This includes anything you get professional help on for your blog. Attorney fees, and consultations fees such as for an SEO expert.
If you opt to move from a sole proprietorship to an LLC or S-Corp the fees for setting that up and maintaining it can be deducted.
This is the physical stuff you need to conduct your business. Paper for testing printouts, pens, paperclips, etc. The key is to make sure it is for blog purposes.
Costs of Good Sold
If you physically make a product that you sell on your blog the supplies needed to make that product can be deducted. (Note: This does not mean you can deduct what you are selling the product for, it is the cost of production.)
Courses, webinars, and ebooks your purchase to learn more about blogging are considered continuing education.
The cost of traveling to and from conferences and hotel fees are potential deductions. Meals during these trips should be documented as well. Keep in mind that meals are only a 50% deduction.
Computers, printers, cameras, etc can be considered in as much as they are used for blog purposes.
If you pay other writers to produce content for your site, that would be considered a contract fee.
Donations made by your blog, such as cash donations or an item donated for charitable purposes are potential deductions. (Note the item given away is limited to the cost of production, not the fair market value of the item. That is, you can deduct the costs of materials, not the value you sell the item for.) Keep in mind this deduction passes through to your Sch. A.
These are just some of the more common deductions the average blogger should consider. As always, you need to check with your tax professional to determine what is best for you. A good default to consider is whether or not what you are wanting to deduct is in fact used for blogging purposes. If you have to stretch to make it fit, you might want to reconsider. Bloggers base their business on reputation, which requires good ethics in all areas. That includes your behind the scenes business practices.
Taxes can be tough. Trust me, I’ve been doing accounting and bookkeeping work for almost 8 years now, so I know. But in order to run a successful business, you can’t ignore them. Here are some additional posts that can help you out.
What questions do you have about your blog bookkeeping? I’d love to help out. Comment and let me know how I can help you!
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