Most pros caution against claiming 100 percent. If you had a big year and want to reduce your profits to minimize the tax bite, it’s best to write the entire cost off."Ĭarney said this strategy means you will have less to deduct in the coming years.Īlso, with most tech gadgets, you can claim a percentage of time that you used that device for business purposes. "Your choice between the two depends on your projected income and other expenses going forward. “You can depreciate them, spreading the deduction over the number of years the IRS considers to be the shelf-life for this item, or you can write the entire cost off for the year of purchase," Carney said. The business owner has a choice on how to deduct the costs of those items. Michael Carney, owner and president of MWC Accounting in Chicago, said expensive tech hardware can qualify if it is an asset that retains its value over several years. Your computer, cell phone, Internet service, software and even some cool tech gadgetry are possible tax deductions if you must use them to run your business.
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