More Author Tax Deductions!

I received a text today from a fellow Author inquiring about tax deductions. The previous blog entry only covers 3 deductions. My juices started flowing and I decided to research some other deductions because, of course, there’s more than 3!

Here’s what I found. I hope the information is useful to you.

WAIT, before you read further…ask yourself, “Am I pursuing a serious career in writing?”…Then ask yourself, “Are these legitimate deductions associated with my pursuit of that career?” You want to ask these questions because those are the requirements to take advantage of the deductions in this post and the previous one.

1. Postage: Did you do a snail mail campaign? Invitations? Perhaps you sent out thank you cards or mailed compensation to team members. Don’t forget that your postage expenses, in relation to your writing career are deductible.
2. Donations: Many Authors, including myself, donate books as a form of promotion. Sometimes I do it just because I see something in someone that I think will help them. Yes, it’s charitable and noble, but it’s also Tax Deductible!
3. Education: Have you taken course work to further your career? Maybe you paid for a workshop or seminar to learn how to market your book or watched a webinar on editing. When directly related to your field, YES, these incurred expenses are tax deductible!
4. Business attire and up-keep: I was reading up on the subject of deductions (forgive me for not remembering where) and the Author was explaining that wardrobe expenses for events, dry cleaning of such items, etc. are deductible. When my mother was a correction officer, her dry cleaning was deductible too. I’m sure this deduction holds true, but let a tax attorney or accountant advise you further.
5. Technology: Every device or gadget you purchased to enhance your production, sales or to establish and maintain your business is another deduction. As for multi-purpose devices, as little as 25% of its purchase and service related costs are deductible.
6. Research material: I don’t know about you, but I have purchased books and printed things at the library to research and study for my business and publications. Remember to keep your receipts for these things.
It is not only the large corporations who receive big, and often times, hidden deductions. Us little people impacting the world in a TREMENDOUS way through our words have some extra benefits too!
Just in case you did not save ANY receipts for the tax deductions mentioned, here are a few remedies for this:

1. If you used your debit or credit card, get the statements and highlight the charges. You can use that to add up the deductions and prove the purchases.

2. If you paid online and the company has a user account for you, there may be something you can log-in and print out with all of your purchases, dates, items purchased, etc. listed for you.

3. Paypal has become to innovative and popular that even stores allow you to pay from your account! If you used paypal, just log in and print the appropriate report for your taxes.

This is just an overview of the choices you have. Always seek legal advice before proceeding forward.

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