Writer’s Tax Deductions
There are many tax deductions currently available to independent contractors. Make sure you’re not missing out on any of these as a self-publishing author. __________
When you work for yourself, you are often considered an independent contractor. This means that you are responsible for managing your own tax payouts and keeping track of your own expenditures and revenue. When tax time rolls around, besides just knowing what you made and what you spent in general, take a closer look at your finances and try to find possible tax write-offs, credits, and cuts for you / your business. Here are some basic categories with examples to get you started.
Equipment and Supplies
Equipment Warranties and Insurance
Laptops, desktops, tablets, etc.
To read to create content for a website, observe the craft to inform your own, or even non-fiction that helped you find writing gigs, tighten up your marketing, or learn how to promote your book more effectively.
For taking photos to go inside your book, creating covers for a book, for PR and marketing purposes while you’re at an event, etc.
Dry Erase Boards
For organizing your plot, describing your characters, outlining your story, planning publishing, or keeping meeting dates.
Dry Erase Markers, Erasers, and Cleaning Sprays
Postage stamps for mailing out orders, along with logo or name stamps for the company.
If you have a home office or just a small space that you rent, you may be able to get deductions for some of the following expenses.
For a waiting area or for your professional development (or both).
Car Registration and Taxes
Car Maintenance and Repairs
Meals on the Road
Rental Car Expenses
Public Transportation Fares
Taxi, Uber, Bus, Subway, Streetcar, etc.
Equipment or Office Repair
Training / Education