Checkmark iconCan I Write This Off?

Can I write off gig worker platforms like Fiverr?

TL;DR

Yes, fees paid to gig worker platforms like Fiverr can be deductible as a business expense if they are ordinary and necessary for your business.

Detailed Answer

Expenses incurred for using gig worker platforms like Fiverr are deductible if they are directly related to your business activities. This includes service fees, transaction fees, or any other charges by the platform. For example, if you hire a graphic designer on Fiverr to create a logo for your business, the cost of that service is deductible. However, personal expenses or services not related to your business are not deductible.

Where to Put It on the Tax Form

Schedule C (Form 1040), Part II, Line 8 (Advertising) or Line 27a (Other expenses)

Real World Example

A freelance writer hires an editor on Fiverr to proofread articles before submission to clients. The fees paid to the editor are deductible as they are directly related to the writer's business operations.

Audit Risk & Documentation Tips

To minimize audit risk, keep detailed records of all transactions, including invoices and receipts from Fiverr. Document the business purpose of each expense and maintain correspondence with the service provider if applicable.

IRS Reference

IRS Publication 535: Business Expenses

Relevant Industries

FreelancersSmall BusinessEntrepreneursDigital MarketingConsultants

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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