In the US, self-employed taxpayers face great challenges when operating business. In order to encourage and help self-employed taxpayers, the Internal Revenue Service (IRS) has provided a number of tax deduction measures. The general or necessary costs associated with the operation may be declared for deduction as long as the receipt or record is maintained. Consolidating the views of many experts, there are seven major categories of items that can be listed for deduction.

Health Insurance Premiums

For self-employed taxpayers, all medical premiums can be included in the deductions. This is the easiest category to ignore.

Since 2014, if you do not join any medical insurance, you must pay a fine and the amount of the fine increases year by year. As a result, when a self-employed taxpayer joins a medical insurance, he not only can avoid punishment but also can enjoy the benefits of full deductions when filing tax returns.