Are DJ Drops a Tax Write Off?


HERE ARE THE TOP 5 TAX WRITE OFFS FOR DJS.

  1. VEHICLE EXPENSES OR MILEAGE. Do you use your personal vehicle to drive to your gigs? Whether you’re mobile DJ or club Dj, you most likely have to drive your own vehicle to your gigs. There are  several ways you can deduct your transportation to and from your gigs. 1. You can deduct the total amount of miles you drove from your home to your gigs. Make sure you keep a log, and keep track of your miles, there are a few apps (some free too) that can help you avoid the old school pen a paper method. In 2018, the IRS gave a 54.5 cents per mile deduction for each mile driven for business 2. You can choose to deduct vehicle expenses rather than mileage also. This would include gas costs, oil changes and any other maintenance required to keep you vehicle running for business use. 3. Dont have your own vehicle? No problem!  You can also deduct any cab fare, or uber and lyft costs you may have incured while transporting to your DJ Gig.
  2. COMMISSION, LABOR. Are you paying people to help you at your events? Maybe you paid someone to help set up your dj gear a few times or you have another dj to do your warm ups? These these transactions can be considered as payments to sub contractors, or even employees, and can be completely deducted. Also, if you paid someone commission, like an agent to help you find and book gigs, this is another completely deductible expense.
  3. EQUIPMENT, SOFTWARE. Having the latest equipment is a must for most DJs. Serato, those new speakers, lights, or headphones. All Tax deductible with options from depreciating your entire costs over several years, or taking a full deduction the year you buy it on certain purchases.
  4. BUSINESS USE OF HOME. This is can be a big depreciation. Are you a producer with with a studio where you make beats and music? Or are you a DJ with a practice room or office where you spend time downloading new tracks? You can measure the size of your business home use, and right off the total percentage of your business use of home from your rent, utilities and more!
  5. ADVERTISING. Cliche, but I need to say it, Last but not least, ADVERTISING! Your advertising costs are 100%  deductible. And the advertising deduction doesn’t just consist of your facebook or google ad spend. But also, your DJ Drops, Beat tags, and intros! Yes! They are also deductible, because they are a form of advertising. Drops, tags and intros are like miniature commercials that you play straight to your audience. Dj Drops are a form of branding used to help your audience learn who you are, and build your brand. So make sure your write off any costs, and purchases you have made with Commercial Kings are associated with dj drops, beat tags and podcast intros, and also let your tax prepare agent know of these cost so that you can decrease your tax liability.

Tax laws often change. These deduction suggestions were made based on the current laws at the time this article was publish (Aug 25th 2019). Please speak with a tax professional to make sure these laws still apply.

 

 

 

Commercialkings.com, Commercial Kings, LLC is not a tax professional or tax lawyer and does not make recommendations for tax deductions. Information on this page is for entertainment purposes only.