Failing to claim all the small-business tax deductions you’re entitled to is like flushing money down the toilet. Deductions are a legal way to reduce the amount of business income that is subject to tax.
Keeping good records is key to backing up the deductions, says Barbara Weltman, author of “J.K. Lasser’s Small Business Taxes 2017.”
“Keep receipts, invoices and other documentation,” she says. “If you don’t have the proof, you could be out of luck.”