As a small business owner in Austin, Texas, you’re always looking for ways to keep more of what you earn. The key? Smart tax strategies. The right deductions can significantly reduce your tax bill, but many business owners miss out simply because they don’t know what they’re entitled to. Let’s walk through seven essential tax deductions you need to know—and how we at Insogna CPA, a trusted Austin CPA firm, can help you maximize your savings.
1. Are You Using the Home Office Deduction?
If you work from home, you could qualify for the home office deduction, which allows you to deduct part of your rent, mortgage, utilities, and even your internet.
To qualify, your home office must be:
- Exclusively used for business
- Your primary place of business
This deduction can add up fast, but it’s one the IRS keeps an eye on—so accuracy matters.
Pro Tip: Our small business CPA services in Austin will ensure you claim it the right way.
2. Don’t Forget Equipment and Software Costs
Running your business likely involves purchasing computers, software, and office furniture. Did you know you can deduct these costs? Whether it’s a new laptop or a monthly software subscription, these expenses add up.
You can often claim the full cost in the same year under Section 179.
Pro Tip: Our Austin accounting services can guide you on whether to deduct these costs upfront or depreciate them over time.
3. Are You Tracking Vehicle Expenses?
If you use your car for work, you’re probably eligible for some hefty deductions. Whether you’re driving to meet clients, running errands, or delivering goods, you can write off:
- Mileage
- Fuel
- Repairs
- Insurance
The IRS offers two options: the standard mileage rate or actual expenses. Which one’s better? That depends on your driving habits.
Pro Tip: Let us at Insogna CPA help you track and optimize your vehicle deductions.
4. Are You Paying Employees—or Family?
If you have employees, their wages, bonuses, and even payroll taxes are deductible. But here’s something many don’t know: hiring family members can also provide unique tax benefits.
Just make sure their pay is reasonable and the work is clearly documented.
Pro Tip: Our Austin, TX CPA firm can help you structure employee pay for maximum tax savings.
5. Are You Deducting Health Insurance Premiums?
If you’re self-employed, the cost of your health insurance premiums could be deductible. This includes coverage for:
- You
- Your spouse
- Dependents
Not sure if you qualify?
Pro Tip: Our accounting firm in Austin will review your eligibility and ensure you take full advantage of this benefit.
6. Don’t Overlook Retirement Contributions
Saving for retirement is good for your future—and your taxes. Plans like SEP IRAs, SIMPLE IRAs, and Solo 401(k)s let you reduce your taxable income while preparing for what’s next.
Pro Tip: Let our CPA services in South Austin help you design a retirement plan that works for your business and your tax strategy.
7. Are You Investing in Continuing Education?
Courses, certifications, and workshops directly related to your business are deductible. Even professional books and conferences can qualify.
Keep good records to show how these investments support your business.
Pro Tip: Our Austin accounting services will ensure your education expenses are reported correctly.
Why Partner with Insogna CPA?
Navigating tax season doesn’t have to be stressful. At Insogna CPA, we make taxes simple. Here’s what we offer:
- Personalized strategies to maximize deductions.
- Ongoing support from one of the best CPA firms in Austin, Texas.
- Clear, proactive advice for small business owners in Austin, Round Rock, and beyond.
Maximize Your Deductions This Tax Season
Don’t leave money on the table. With expert guidance from Insogna CPA, you can keep more of your hard-earned income and stay compliant with tax laws.
📞 Ready to take control of your taxes? Schedule a strategy session with Insogna CPA today!