You Can Charge Late Payments to a Business Credit Card
If you are self-employed, there are many things you can deduct when paying taxes . For example, if you have a business credit card, you can claim it as a deduction, including late fees.
On Credit.com, credit card expert Sean Bryant explains that “almost any commission you incurred on your business card can be debited.” This includes annual fees, readout fees, and even late fees:
I hope you don’t suffer late fees on your credit cards, but mistakes do happen and sometimes you forget to make a payment. These fees can be deducted from your business taxes. Of course, it’s always best to call the company and explain what you just forgot and ask if they can waive the fee this time; saving $ 35 is almost always better than claiming a $ 35 tax credit.
Again, it is clearly best not to increase late fees at all. But if it happened on your business card, you can always write it off. According to this guide to Appendix C (PDF) of the National Self-Employed Association , you must enter a deduction on line 48 ofAppendix C (PDF). For additional deductions, go to Credit.com’s full publication at the link below.
5 Tax Free Credit Card Commissions for Business
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