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Can I write off a virtual assistant?

TL;DR

Yes, you can write off a virtual assistant as a business expense if their services are used for business purposes.

Detailed Answer

The cost of hiring a virtual assistant can be deducted as a business expense if the services provided are directly related to your business operations. This includes tasks such as managing emails, scheduling appointments, bookkeeping, or any other administrative duties that support your business activities. However, if the virtual assistant is used for personal tasks, those expenses are not deductible. It's important to distinguish between personal and business use to ensure accurate deductions.

Where to Put It on the Tax Form

Schedule C (Form 1040), Part II, Line 17 (Legal and Professional Services)

Real World Example

A freelance graphic designer hires a virtual assistant to handle client communications and scheduling. The designer pays the assistant $500 per month. This amount can be deducted as a business expense on Schedule C.

Audit Risk & Documentation Tips

To minimize audit risk, maintain clear records of the services provided by the virtual assistant, including invoices, contracts, and payment records. Ensure that the tasks performed are clearly documented as business-related. Keep detailed logs of communications and tasks assigned to the virtual assistant.

IRS Reference

IRS Publication 535, Business Expenses

Relevant Industries

FreelancersSmall BusinessConsultantsOnline Businesses

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Disclaimer: This is for informational purposes only and should not be construed as tax or legal advice. Always consult your tax advisor.

Page created on July 7, 2025