NAICS code: 722300
It’s an exciting and rewarding job to work as a caterer and feed people. You need to have the knack to pull off the perfect event where the highlight is your food. You must have a keen eye for detail thanks to all the food presentations you have done over the years. However, do you have the same keen eye while doing your taxes? Probably not.
With the help of the write-offs listed below, you can cut off many expenses related to your business and deduct them from your taxes. Yes, it’s quite easy once you get the hang of it. If you are a very busy person and can’t set aside some time to do your taxes, then you can hire a professional to do it for you.
We have put together a list of the most common write-offs for caterers that you can use to deduct your expenses.
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Cooking equipment & supplies
Write it off using: Schedule C, Box 22
All the kitchen equipment like spatulas, non-stick pans and so on required to run your business can be written off on taxes.
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Food & ingredients
Write it off using: Schedule C, Box 38 (COGS)
All the food items and ingredients you purchase to cook for clients are tax deductible.
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Advertising
Write it off using: Schedule C, Box 8
The money you spend on Google AdWords, Facebook Ads, and other sites to advertise your catering business is tax-deductible.
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Website & hosting fees
Write it off using: Schedule C, Box 8
The websites you use to meet your client or host events are tax-deductible. These websites include Squarespace, Wix, and others.
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Certifications & licenses
Write it off using: Schedule C, Box 23
Any required certifications or licensing fees can be deducted.
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Transport containers
Write it off using: Schedule C, Box 22
You need containers to transport all the utensils from your kitchen to the serving station. The money you spend on buying these containers is tax deductible.
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Kitchen space
Write it off using: Schedule C, Box 20b
If you have rented a space to do all your cooking business, then the rent money can be deducted on taxes.
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Marketing materials
Write it off using: Schedule C, Box 8
Pamphlets, business cards, brochures, menus, and other marketing materials required to promote your business are tax deductible.
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Creative assistance
Write it off using: Schedule C, Box 11
When you hire an editor, photographer, or content writer to boost your catering business, you can write off the money you pay them.