Meal & Entertainment (Clients)
Pension Funding (IRA , etc.)
Trailer & Equipment Licenses
TELEPHONE (business only)
Total Maintenance & Repair
1. In Auto Expenses you can claim EITHER mileage or actual expenses. You cannot claim both.
2. Employee benefits are only if you have W-2 Wage paid employees. Owners and Spouses DO NOT count, unless you
are a corporation, NOR do Contract (1099) Laborers.
3. Auto Insurance is only deductible if you claim actual Auto Expenses, NOT if you claim mileage.
4. Health Insurance is NOT allowed for a sole proprietorship. Self-employed Health Insurance is deducted elsewhere.
5. Disability Insurance–See Health Insurance.
6. Office Equipment DOES NOT include furniture. Furniture goes in Depreciation.
7. Promotional items include small gifts to customers or public non-profits.
8. Rentals are Short-Term items, not long-term leases.
9. Disposable tools, i.e. Small Tools, are those which have a life of less than one year or a cost of less than $200.00 each.
10. Wages are W-2 Wages paid to employees when you have a W-4 on each employee and you do Wage and Social Security withholding from their
pay.
JW Hopp and Associates, Inc.
office@hopptax.com 1/3/2022