Tax Deductions for the Freelance Writer

If you are a freelance writer, you need to be prepared when each tax season comes along. No matter what type of freelance writing you do, you could claim tax deductions for your freelance writing business. The IRS allows for a freelance writer to deduct a variety of things for their business. These deductions can make drastic difference in the amount of taxes you owe and is some circumstances can allow for you to receive a tax refund. I take advantage of them, do you?

Please remember that I am not a tax professional, if you have questions about your yearly taxes please contact a tax professional. I recommend H&R Block but choose one that you like. Tax software is very helpful for freelance writers as well.

For up to date tax information go to the IRS website

When you have an exclusive office area it will give your freelance writing an office/place of business. It does not have to be an entire room, but you need a portion of the room to be used exclusively as an office for your freelance writing. Some people have even set the office up in a small closet, or a small under stairs area. This is not just a tax tip, this is also a very good freelance writing tip. If there is an area that is exclusively for your business you can be more productive, and you will be able to deduct that area when you prepare your taxes. I have learned this tip from personal experience through the years that I have been writing from home.

Freelance writers have a variety of tax deductions, and you should try to use all of them that are useful to you and your business. To ensure that you are able to deduct all of the available items, keep your records in order.

-Keep receipts for absolutely everything that you purchase for your freelance writing business

-Mark the receipts with a highlighter, or pen to show what is purchased and to remember what it is for

-Keep records of the work that you do each and every day

-Record the expenses and income clearly through spreadsheets, or some kind of tracking system

-Keep accurate records of everything, and keep it organized

-Keep your records for up to seven(7) years in case of a tax audit

There are a variety of storage options for a home office, and basically everything that you need for your storage is deductible. Here are a few examples:

-Filing cabinets

-Filing boxed

-Desk organizers

-Pen boxes

-File folders

-Label maker

These are just a few examples of office storage items that may be tax deductible for a freelance writer. To stay safe I recommend keeping receipts for all of your purchases. It is easier to throw a receipt away later, rather than trying to find one that may have been useful. You always need to have documentation showing what your expenses are. This will also show you what profit or loss that you may have for your freelance writing business.

Office supplies are one of the most used tax deductible items for a freelance writer. We all have pens, pencils, post it notes, notebooks, and more. These are things that a freelance writer use quite often, and we should be sure to deduct these item. Here are some examples of what you may be able to deduct from your taxes:

-Pens

-Pencils

-Notebooks

-Paper

-Paper Clips

-Stapler/Staples

-Binders

-Tape

-Hole punch

-Highlighter

-Envelopes

-Markers

-Whiteboard

-Peg board

-Stick pens

and so on. These are all things that you need for your business.

Most freelance writers have to have electronic devices, well I believe all of them do in this day and age. There are a few electronic items that can be deducted. Examples of your electronic items that may be tax deductible:

-Computer

-Computer hardware

-Computer software

-Calculators

-Printers and ink

-Lamps

-Electronic storage devices such as flash drives

Depending on the type of writing you do, there is a variety of things that is tax deductible for a freelance writer. The following items may not be used by everyone, but they can be deducted if you use them for your business.

-Coffee maker

-Promoting

-Shipping

-Books or newspapers used for writing

-Letter Head

-Business cards

-Logo design

-Brochures

-Travel (Gas, Mileage, lodging, etc.)

-Checks

-Checking account fees (only if the account is exclusively business)

-Classes that will enhance your writing

-Portion of your rent, utilities, or other housing expenses

-Web hosting and design

There are so many things that a freelance writer can deduct on their taxes, I may have missed something important. If I did please share with everyone. It will help us all as freelance writers.