Summary of What This Blog Covers
- Reveals seven overlooked business expenses you can legally deduct.
- Explains how to track and document deductions like meals, travel, and software.
- Highlights extra write-offs like FBAR filing and 1099 prep.
- Shows how a CPA can help you maximize deductions and reduce taxes.
Let’s cut to the chase. You didn’t start a business so you could spend your days sifting through IRS codes and trying to guess what qualifies as a tax deduction.
You started your business to build something that matters to create income, independence, and impact. So here’s the deal: if you’re out there investing in your work, you deserve to know which business expenses can reduce your tax burden. And not just the obvious stuff.
We’re talking about high-impact, often-overlooked deductions that most business owners skip not because they’re careless, but because no one ever told them they could deduct that new desk chair, those Zoom calls, or that consulting session that changed how they run their business.
At Insogna CPA, a leading Austin, Texas CPA firm, we’ve worked with thousands of entrepreneurs, freelancers, LLCs, S-Corps, and service providers who after partnering with us, realized they’d been leaving thousands of dollars on the table. Every. Single. Year.
So, if you’re ready to work smarter not harder on your taxes this year, grab your favorite note-taking app. Here’s your personal guide to seven business expenses you didn’t know were deductible (and how to track them like a pro).
1. Your Home Office: Yes, It Can Save You Thousands
Let’s start with a classic. The home office deduction. This one has been misunderstood, misused, and in many cases completely ignored.
If you use part of your home exclusively and regularly for business, you can deduct a percentage of your household expenses. That means you’re legally entitled to reduce your taxes simply for running your business from home.
What you can deduct:
- A percentage of your rent or mortgage interest
- Utilities, including electricity, internet, water, and garbage
- Homeowner’s or renter’s insurance
- Repairs or maintenance for your workspace
- Furniture and office equipment, like that new standing desk or dual-monitor setup
Two deduction methods:
- Simplified method: $5 per square foot, up to 300 sq ft (max $1,500)
- Actual expense method: Deduct actual costs, prorated by your office’s square footage
Let a certified public accountant near you help you determine which method saves you more. A small business CPA in Austin can also help make sure you stay compliant while maximizing this powerful deduction.
Important: This space must be used solely for business. Your kitchen table or couch won’t cut it. But that dedicated office you turned your spare bedroom into? Absolutely eligible.
2. Meals with a Business Purpose: There’s a Right Way to Deduct Them
Business meals are one of the most misunderstood deductions out there. Yes, you can deduct them. But you need to understand the conditions.
What qualifies:
- Meeting with clients, partners, or prospects to discuss business
- Meals during travel related to business (flights, conferences, work trips)
- Team lunches where business is discussed (strategy sessions, planning meetings)
- Meals for employees at events, holiday parties, or training (some 100% deductible)
What doesn’t qualify:
- Grabbing takeout solo unless you’re traveling for business
- Dining out with family or friends, even if business is discussed casually
- Meals that are not directly tied to your business operations
The IRS allows you to deduct 50% of eligible business meals in most cases. Some team meals and events may be 100% deductible. The key is documentation. You need to track:
- Date and location
- Who was present
- The business purpose
A tax advisor near you or Austin tax accountant can help determine what’s allowable and ensure the deduction is properly classified and supported.
3. Business Software, Tools, and Subscriptions: Deduct What Keeps You Running
If you’re paying monthly or annually for digital tools that help you manage, promote, or grow your business, those are legitimate business expenses.
We’re talking about:
- QuickBooks Self-Employed, Xero, or other accounting platforms
- Zoom, Slack, Microsoft Teams (communication)
- Google Workspace, Dropbox, Notion (file storage and collaboration)
- Asana, Trello, Monday.com (project management)
- Canva, Adobe Creative Suite (design and content)
- CRM platforms, scheduling tools, cybersecurity, password managers
Many of our clients are surprised when we point out just how much they spend each year on software subscriptions. When combined, these “small” expenses often exceed $3,000 to $5,000 annually.
A CPA near you will make sure these expenses are properly categorized and reflected in your 1099 tax form filing. And if you’re not already tracking these in your bookkeeping? Don’t worry, we’ve got systems that can automate that, too.
4. Education, Certifications, and Coaching: Professional Development Pays
If you’re investing in yourself or your team with the goal of improving your current business skills, that’s not just growth. It’s a write-off.
Eligible expenses:
- Coaching and consulting sessions that improve your business operations
- Courses related to your current trade or industry
- Workshops, trade shows, or industry-specific events
- Books, subscriptions, and online platforms used to stay up-to-date
- Memberships in professional associations
What’s not deductible:
- College tuition for a degree unrelated to your business
- Classes for an entirely new line of work (career change)
A certified CPA in Austin can help you determine if that $1,200 mastermind you joined this year qualifies as a business expense and how to deduct it correctly on your 1040 or Schedule C.
5. Travel and Mileage: Your Car Is a Mobile Tax Deduction
If you use your car for business even occasionally, you can deduct those miles. The IRS standard mileage rate for 2025 is 67 cents per mile.
Two options for deducting:
- Standard Mileage Rate: Track business miles and multiply by IRS rate
- Actual Expense Method: Deduct a percentage of your actual vehicle expenses (gas, insurance, maintenance, depreciation)
In addition to mileage, you may also deduct:
- Tolls and parking for business trips
- Flights, hotels, and transportation for business-related travel
- Rideshare fares while traveling for work
Let’s say you drove 4,000 miles for business in 2025. That’s $2,680 in potential deductions just from mileage alone. A tax preparer near you can help you decide which method makes the most sense and how to document each trip.
Use apps like MileIQ or TripLog to track your mileage or work with a CPA firm in Austin, Texas to automate it.
6. Professional Services: Advice, Compliance, and Outsourcing Are Deductible
If you’ve hired outside help for your business and it wasn’t an employee, it’s likely deductible. That includes the professional who set up your LLC, the attorney who reviewed your contracts, and yes, your accountant.
Common deductible services:
- Tax preparation and filing fees
- Bookkeeping and payroll management
- Legal consultations and contract review
- HR advisors and compliance experts
- Marketing strategists, branding consultants, PR firms
Paying a licensed CPA to manage your self-employment tax, calculate your estimated tax payments, or help file 1099-NEC forms? Deductible. Every dollar of it.
These services do more than save time, they reduce risk. And the IRS encourages business owners to seek professional guidance by letting you deduct the cost.
7. Equipment and Technology: Invest in What You Use
When you upgrade your laptop, buy new tech, or outfit your office with better equipment, those are capital investments you may be able to write off in full or depreciate over time.
What qualifies:
- Computers, monitors, tablets, phones (business use only)
- Office chairs, desks, filing cabinets
- Printers, scanners, and networking equipment
- Website hosting, SSL certificates, domain renewals
- Backup drives, routers, cybersecurity software
You can often use Section 179 to deduct the full purchase cost in the year you bought it. Larger investments may qualify for bonus depreciation or require MACRS depreciation over time.
A chartered professional accountant or Austin small business accountant can walk you through your options and help you choose the method that delivers the most benefit.
Other Deductions You Might Be Missing:
We’ve just covered the big seven, but here are a few more worth mentioning:
- FBAR filing: If you have foreign financial accounts exceeding $10,000, you must file. Penalties are steep for missing it, but the cost of compliance? Deductible.
- W-9 tax form administration: Managing contractors requires collecting W-9s and filing 1099s. Services used to manage this are deductible.
- QuickBooks Self-Employed subscriptions: Yes, you can deduct the tool that helps you track your deductions.
- 1099 NEC Form prep: Working with an Austin accounting firm to manage this process? That fee is deductible too.
- Self-employment tax planning: Including working with a tax consultant near you to manage estimated 1040 ES payments and avoid penalties.
Your Business, Your Taxes: Let’s Get Strategic
If you’ve been tracking all of this with a spreadsheet and hoping for the best, now’s the time to level up. You need more than software. You need a strategic CPA partner who can translate your business activity into a clean, optimized, IRS-compliant tax strategy.
At Insogna CPA, we:
- Help you track and document expenses all year long
- Offer full tax preparation services near you
- File your W-2s, 1099s, 1040s, and more with accuracy and confidence
- Ensure compliance with FBAR, self-employment tax rules, and state-by-state regulations
- Deliver proactive guidance on deductions, depreciation, entity selection, and long-term growth
We’re more than a tax preparer near you, we’re your behind-the-scenes financial guide.
Ready to Keep More of What You Earn?
Your expenses are real. Your deductions should be too. Let’s build a tax strategy that actually matches the business you’re working so hard to grow.
Book a strategy session with Insogna CPA today.
Whether you need help with tax filing, deduction tracking, FBAR compliance, or year-round tax planning, we’re here to help you save more, stress less, and scale faster.