Tax season is upon us.

But earlier you start heading for the edge to avoid combing through all of your receipts, accept a await at some of the taxation deductions you tin can claim as an contained artist.

Depending on where y'all are in your visual career, you may be asking if your practice counts equally a business (as recognized by the IRS) and not a hobby.

If you lot are running your art practise like a business, even if you are operating at a loss, you tin deduct that loss from other income you lot earn, such as wages and salaries from second jobs.

How do you know if you qualify?

If you lot conduct your fine art practice in a pragmatic mode, put time and effort into your artwork to make it profitable, depend on income from your artwork for your livelihood, have been successful in making a profit during some years of your art business, yous about likely authorize to take deductions.

As a general rule of thumb, your business should be making a profit for at least three out of 5 years or you should be able to demonstrate that yous are working actively toward making your business concern profitable.

Doing things like keeping accurate records of your show entries, gallery activeness, business concern expenses and fourth dimension you put into your artwork all piece of work in your favor when trying to prove your brownie every bit a business concern.

In one case yous have determined you qualify, don't miss out any of these common deductions.

Materials & Supplies

Any difficult materials you use to make your artwork tin can be deducted from your taxes. This includes your supplies, raw materials, electricity that might be used to create your work, and frames. These materials are by and large things you lot utilize up within the twelvemonth (call up paint, dirt, coat, canvases, etc.)

You can also write off any office supplies you lot have purchased to run your art business organization such as paper, cards, stamp etc.

Studio Expenses

If you have a studio outside of your dwelling house, the total rent and utilities are fully deductible business expenses. For those that have an art studio in your home that is used exclusively for your art business or making art, you tin deduct a portion of your monthly overall expenses for that infinite.

Advertising

Annihilation you spend money on promoting your work can exist deducted. Advertising expenses include print ads, business organisation cards, fliers, sponsorships, Facebook and digital ads, as well as your website hosting and creation costs.

Vehicle Expenses

Yous tin claim a portion of your auto expenses if you utilize your vehicle for your fine art business organization. Especially if you lot apply your car or truck to send your work to shows or fairs or to pick upwards materials, you tin claim your vehicle in mileage or a percentage of your personal vehicle utilize.

Fees

You can write off your processing fees from companies like Square, Etsy or Paypal as well equally fees y'all paid to enter juried shows or fairs.

Memberships

There are a lot of bonuses to having professional memberships. Plus, you can write them off also equally whatsoever museum memberships.

Contract Fees

What counts equally a contractor? Anyone yous pay in club to make your work. This includes fabricators, photographers, assistants, etc.

Big Equipment (Depreciable Avails)

Depreciable avails are anything that you will employ for your art business or studio for more than than one year. Think computers, kilns, cameras and whatever larger expenses that are used over multiple years.

These are substantial expenses. For these larger items, you can report the nugget's depreciation as a deductible expense or you tin merits a larger deduction in the get-go year.

Legal and Professional Expenses

Our recommendation? Get a professional to help you with your tax preparation—you lot tin write off their fee!

Repairs and Maintenance

Any expenses related to repairing or maintaining your equipment or office infinite would go into this category. For instance, if y'all're a photographer and you send your camera to the shop to get calibrated and cleaned, the maintenance price should go in this category.

Travel

Every bit an artist, you lot are probably traveling to shows ofttimes. Not only can yous deduct the miles traveled, yous tin can deduct transportation similar Uber rides, airfare, and hotel costs.

Business organisation Meals

In society to deduct the cost of a eating house meal, y'all need to conduct or discuss business during that meeting or soon thereafter (say, yous meet upwardly with an creative person to talk over an upcoming collaboration together). Continue in mind that y'all also can simply deduct 50% of your meal costs.

Cell Phone Costs

If yous employ your cell phone for both concern and personal use you tin can separate up the monthly charges based on an estimate of how much you use the phone for your fine art business.

Education and Conference Expenses

Have an art coach? Take a continuing education class? Attend any conferences this yr?

You lot tin deduct all of these expenses as well every bit any books, magazine subscriptions, online courses or anything else related to furthering your teaching.

Software Subscriptions

Software that helps y'all run your art business organization similar Artwork Archive tin can be deducted from your taxes. If you pay for other subscriptions that have monthly or almanac fees similar an accounting service or paradigm service, you can deduct those too.

Remember, the near important thing is that y'all are making sure you are reporting all of your income and not over-reporting your expenses. This helps if you have kept shut tabs on your expenses throughout the year and stay organized.

Use this as a jumping off point for your taxes, only always seek the communication and guidance from a tax professional person.

Need to know how to conduct a year-stop inventory of your artwork? Read on here.