As you probably already know, tax day this year got pushed back to May 17th. I myself am wrapping up my own taxes, so with things fresh in my mind I figured I’d write an article about tax deductions that you can make as an affiliate marketer.
Remember it’s not only about making money as an affiliate marketer, we need to do our best to keep as much as we can (legally anyway)! So if you haven’t started on your taxes yet or perhaps are just finishing up, here is a list of deductions that you may have as an affiliate.
- Advertising Fees (Google ads, Facebook ads, Bing ads etc)
- Domain Fees (New domains, renewals, privacy etc)
- Web Hosting Fees (SEO web hosting, server fees etc)
- Software Subscriptions (SEO tools, SEMrush, Ahrefs etc)
- Misc. Subscriptions (Proxies, plugins, VPNs etc)
- Educational Courses (E-books, online courses etc)
- Forum Fees (Monthly subscriptions, yearly fees, ad posting fees)
- Content Creation Fees (Outsourced writing, outsourced videos etc)
- Service Fees (SEO service fees, graphic design fees etc)
- Payment Processing Fees (Paypal fees, Stripe fees etc)
- Home Office Costs (If you work from home, you can deduct this)
- Office Supplies (Pens, paper, notepads etc)
- Event Fees (Conferences, Shows etc)
- Travel Costs (Any flights or hotel fees associated with your business)
- Meals & Entertainment (When doing business of course)
- Cell Phone / Internet Fees
- Equipment Depreciation (Did you buy a computer, laptop etc. for your business?)
- Interest Fees (On loans or credit used for your business)
- Banking Fees (Wire fees, account fees etc)
So the above is a great place to start and should be enough to take a huge chunk off your taxable income.
If you’re not familiar with how to do your taxes, you should definitely at least learn the basics. I actually went to school for it, but you don’t have to take it that far. However you should at least know a little bit as it can save you thousands of dollars over your career as an affiliate.
As an affiliate marketer you’re basically running a business, and because this is true, you are also entitled to all of the deductions that come with running a business. So definitely take advantage of these legal deductions, no need to give more money to the government that they’ll just end up wasting anyway!
As far as how to file, I always use H&R Block online. It’s really simple to do, and the software walks through everything step by step. I want to say it costs $150 for both the State & Federal returns, and it’s a little more expensive because as a business there is extra paperwork you need to file so they charge you for that.
Anyway I hope this article perhaps saves you some money on your taxes. As always if you’re not sure, please consult a tax professional as this article is meant to be a guide and not a substitute for professional tax or legal advice!