Can I Write This Off?

Can I write off video conferencing gear?

TL;DR

Video conferencing gear can be deductible if it is used for business purposes.

Detailed Answer

The cost of video conferencing gear is deductible as a business expense if it is used primarily and necessarily for business activities. This includes equipment like cameras, microphones, and software subscriptions. However, if the gear is used for both personal and business purposes, only the portion attributable to business use is deductible. For instance, if you use the equipment 70% of the time for business, you can deduct 70% of the cost.

Where to Put It on the Tax Form

Schedule C (Form 1040) for sole proprietors, under 'Other Expenses'.

Real World Example

A freelance graphic designer purchases a webcam and microphone for $300 to conduct virtual meetings with clients. They use the equipment 80% of the time for business, allowing them to deduct $240 as a business expense.

Calculation Required

A calculation is required for this deduction.

Determine the percentage of business use by dividing the time or usage dedicated to business by the total time or usage. Multiply this percentage by the total cost of the equipment to find the deductible amount.

Audit Risk & Documentation Tips

To minimize audit risk, keep receipts, proof of purchase, and a log of business versus personal use. Document how the equipment is used for business and maintain records of business meetings or activities conducted using the gear.

IRS Reference

IRS Publication 535, Business Expenses

Relevant Industries

FreelancersSmall BusinessRemote WorkersConsultants

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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

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