So you like coffee...a lot...and drink it every day. Is it tax-deductible? We give you 3 scenarios how you can make it a business expense and write it off on your taxes:
Scenario #1: You pick up coffee at your favorite local coffee shop on the way to work.
No, this is not a tax-deductible business expense, it is considered a personal expense.
Scenario #2: You hold a business meeting over coffee.
- Yes, this is a tax-deductible business expense if the meeting focuses on business. There is a catch though, the full cost of the coffee would be included as a business expense and then reduced by 50% on the tax return as an entertainment expense.
Scenario #3: The business owner buys coffee, brewing equipment, and supplies for their office.
- Yes, these expenses are 100% tax-deductible. You can provide you, your staff, and clients with coffee that is a tax write off.
Scenario #4: The business owner buys coffee, brewing equipment, and supplies for their home office.
- Yes, this is a business expense provided that the owner uses them for business purposes.
Awesomesauce! You've just figured out 3 ways to save money on your love of coffee. Make it official and get freshly roasted coffee shipped to your office with our Kiro Coffee Care Plan. Just cover the cost of shipping and your first bag of coffee is on us with the code KIROBREAK at checkout.