Don’t leave money on the table—these overlooked deductions could save your business thousands.
As a small business owner, you're juggling marketing, operations, sales—and of course, taxes. But while most business owners remember the big-ticket items, many miss out on smaller tax deductions that can significantly reduce their taxable income.
At S&D Financial Solutions, we’ve worked with clients across the US, UK, and Africa, and we’ve seen one thing repeatedly: business owners unintentionally overpaying taxes simply because they didn’t know what they could claim.
In this post, we break down 10 commonly missed tax deductions—along with simple explanations and examples—so you can maximize your return and stay compliant.
✅ 1. Home Office Deduction
If you work from home—even part-time—you may qualify to deduct a portion of your rent or mortgage, utilities, internet, and more.
To qualify:
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Your home office must be used regularly and exclusively for business.
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It must be your principal place of business.
What You Can Deduct:
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A percentage of rent/mortgage interest
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Utilities (electricity, water)
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Wi-Fi and phone bills
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Repairs and maintenance
👉 Example: If 10% of your home is used for business, you can deduct 10% of your rent and electricity.
✅ 2. Business Use of Your Car
Do you drive to meet clients, deliver products, or attend business events? That travel is often deductible.
You can deduct:
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The standard mileage rate (updated yearly by the IRS/your country’s tax authority)
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Or actual vehicle expenses (fuel, maintenance, insurance, depreciation)
⚠️ Keep a log of miles driven for business vs. personal use.
✅ 3. Startup Costs
Did you just launch your business? Many startup expenses can be written off—including:
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Legal and registration fees
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Website creation
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Market research
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Business plan development
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Accounting setup (yes, even working with us!)
The IRS allows up to $5,000 in startup deductions in your first year, with the rest amortized over time.
✅ 4. Software and Subscriptions
Small businesses rely on digital tools now more than ever. Did you know you can deduct:
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QuickBooks, Xero, Zoho Books, etc.
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Canva, Adobe Suite, or design tools
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CRM platforms like HubSpot or Mailchimp
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Project management tools like Trello or Asana
👉 If it’s used for business—it’s likely deductible.
✅ 5. Professional Services
Paying for accounting, legal, graphic design, or consulting? These are fully deductible business expenses.
Whether you're working with:
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A remote accountant (like us!)
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A tax preparer
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A freelance web designer
As long as they’re helping your business grow or operate—you can write off the cost.
✅ 6. Phone and Internet Bills
If you use your personal phone or internet for work, a portion of those bills can be claimed.
You’ll need to estimate the percentage used for business. If your phone is 60% business, you can deduct 60% of the total cost.
💡 Tip: Keep monthly bills and track usage for accurate reporting.
✅ 7. Business Meals
Taking a client out for lunch or grabbing food during a business trip? These meals may be deductible—usually up to 50% of the cost.
What qualifies:
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Dining with a client, vendor, or employee
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Meals during business travel
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Working lunches for your team
🧾 Keep the receipt and write who you dined with and the business purpose.
✅ 8. Education and Training
Improving your skills isn’t just good for business—it’s good for your taxes, too.
Deductible items include:
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Online courses (like accounting or marketing)
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Industry-specific training
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Webinars and paid masterclasses
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Books and publications related to your trade
🎓 Whether it’s learning QuickBooks or sales techniques—it’s probably tax-deductible.
✅ 9. Bank Fees and Interest
Any bank fees or interest related to business accounts or loans may qualify.
That includes:
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Monthly service charges
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Transaction fees
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Interest on business credit cards or loans
💡 Make sure your business and personal finances are kept separate—it makes this deduction easier to track.
✅ 10. Depreciation of Equipment
Bought a new laptop, printer, or phone for business? You may be able to deduct its value over time through depreciation.
Alternatively, in some countries (like the US), Section 179 allows you to deduct the full cost of certain items in the year of purchase.
📱 Applies to: computers, phones, office furniture, software licenses, etc.
🔍 Final Thoughts
These tax deductions might seem small individually, but together, they can significantly reduce your tax bill. Whether you’re a freelancer, a growing startup, or a remote business owner, staying informed is the key to keeping more of what you earn.
💼 Need Help With Your Taxes?
At S&D Financial Solutions, we specialize in helping small businesses around the world:
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Track and organize deductible expenses
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File tax returns correctly
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Avoid penalties and missed deductions
👉 Let’s talk about your taxes. Contact us today.
📌 Bonus Tip:
Start tracking these deductions today. The earlier in the year you stay organized, the less stressful tax season becomes—and the more money you keep in your business.
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