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Gross receipts tax

Varies

Can You Write Off Gross Receipts Tax?

Short answer: Yes: state gross receipts or B&O taxes (Washington, Ohio CAT, etc.) are deductible business taxes.

Business costs must be ordinary and necessary for your trade (IRC §162) and backed by records showing amount, date, and business purpose.

Records to keep: Keep receipts or invoices, proof of payment, and a note of the business purpose for each expense.