With year-end around the corner, it’s a good time to look ahead to your potential deductions on your 2023 business taxes. With that in mind, take note of these deduction suggestions to ensure you’re making the most of your tax benefits.

Insurance: Under current law, the premiums you pay for employees’ health insurance are exempt from taxes. That includes both federal income and payroll taxes. Most businesses can deduct the costs for property insurance, liability coverage, workers’ compensation costs, business interruption, and business vehicle insurance.

HRA, HSA, and QSEHRA Contributions: You can deduct contributions and reimbursements to employees for a Health Reimbursement Arrangement (HRA) and contributions to employees’ Health Savings Accounts (HSAs).

If you offer employees a Qualified Small Employer Health Reimbursement Arrangement (QSEHRA), you may qualify for up to a 50% tax credit. Information about HRAs and QSEHRAs are available at HealthCare.gov.

Over and above standard tax deductions, small businesses may qualify for a health insurance tax credit as part of the Affordable Care Act. It depends on group size, contribution toward employee premiums, and how and where you purchase your coverage. More information on the Small Business Health Care Tax Credit can be found at HealthCare.gov.

Rent: If you pay rent for your business property, you’re likely able to deduct that cost from your business taxes. If you have a home-based business, you may be able to deduct expenses related to the business use of your home. You can get additional information in several publications produced by the Internal Revenue Service:

• Publication 535, Business Expenses
• Publication 587, Business Use of Your Home
• Publication 463, Travel, Entertainment, Gift, and Car Expenses
• Publication 538, Accounting Periods and Methods

Electricity/Gas/Water/Telephone: Your business utilities are deductible, too. For a home-based business, you cannot deduct the cost of your landline telephone. If you have a second phone line used primarily for business, you can deduct that cost.

Equipment and Machinery Rent and Depreciation: If you lease equipment or machinery for your business, those costs are deductible. Examples include:

• computers
• printers
• copiers
• company vehicles (like trucks or vans)

If you want to claim depreciation on these items, costs must be deducted over multiple years. More information about Section 179 deductions can be found in a Business News Daily article.

Your business may be able to take additional deductions for other expenses, including:

• inventory
• office furniture
• office supplies
• business entertainment
• travel
• interest on loans
• bad debts
• employee gifts
• contract labor
• legal fees

Be sure to discuss your options with your accountant or tax advisor. Every business is different, so consulting a professional is important. You may also want to read Small Business Taxes: What to Expect in 2023, found in Business News Daily, and 13 Small Business Tax Tips Every Business Should Be Using, on the QuickBooks Blog.