At first glance, it may not seem that you are spending a great deal on your blogging endeavors.
However, the fact is that blogging does incur costs. And, if you are making income from your blogging, you might want to offset some of that with the help of tax breaks for your costs.
Before you go claiming tax breaks, though, it is a good idea to double check to make sure that the items you claim truly are related to your blogging efforts.
If you are looking for some blogger tax deductions, here are some things to consider:
Home Office Supplies
If you are blogging from a home office, you can deduct a lot of the supplies that you use. (Just make sure you are using them only for your blogging efforts.)
This can include equipment depreciation for computers, as well as the chair you sit in, the desk you use and things like calendars, pens, headsets, external hard drives, and telephones.
You can also deduct supplies that go with a specific type of blogging that you do.
If you have a photo blog, you can deduct the cost of the camera you use. If you need to buy a web cam to make videos you post on your blog, that can be deductible as well. If you have a dedicated cell phone used specifically in connection with your business as a blogger, some of those expenses are tax deductible.
You’re a blogger, so most of your expenses are likely to be related to your online activities. Luckily, these are tax deductible.
The cost of WordPress plug-ins, Web hosting, online advertising that you do, premium WordPress themes (like Genesis), newsletter costs (like Aweber) and domain name expenses are all tax deductible. Web design, graphics and logos, maintenance and even Internet access can be deducted.
Even if you don’t have separate access for your blogging business, you can take a percentage of your total bill. My broadband Internet bill is $39.99 a month, and about 80% of our Internet usage is accounted for by my professional blogging and freelancing business. As a result, $31.99 of our bill is eligible for a tax break.
On top of that, if you get SEO services or pay for social media consulting to help you improve your blog’s traffic, you can also get a tax break for those costs. You can also get a tax break for access to subscriptions sites that you use for researching your blog posts and the costs of access stock image sites.
Use of Your Home
If you have a dedicated home office space, you can get a tax break for the business use of your home related to your blogging activities. Figure the square footage of your office space, and then use that to figure what percentage of the total square footage of your home you are using for your blogging activities.
My home office takes up about 0.20% of the square footage in my home. This means that I can get a tax break for 0.20% of the utilities I pay, my mortgage payment and my homeowner’s insurance premium. All of that adds up to close to a $400 tax break. Not something to sneeze at.
Other Blogger Tax Breaks
There are a number of other tax breaks that bloggers might be eligible for. These include:
- Tax preparation costs for your business.
- Business incorporation costs if you decide to move beyond a sole proprietorship.
- Business license renewal.
- Salary and contract fees you pay to those who do work for you.
- Travel expenses related to your blogging. (I deduct costs related to BlogWorld attendance.)
- Trade show fees.
- Offline advertising costs, including business promotion like letterhead and business cards.
- Annual fees for business credit cards.
- Mailing materials.
Before you take a deduction, it is a good idea to check with a tax professional, and make sure that you are truly eligible for the tax breaks you want.
Here are some other resources on blogging tax deductions to read: