If you haven’t filed your small business taxes yet, the information below might inspire you to complete this necessary task. From home-based business deductions to employee benefit tax deductions, you’ll likely qualify for at least some of them.

Employee retention tax credit: Businesses can get a maximum of $21,000 to keep workers employed until September 30, 2021. However, if you started your business after February 15, 2020, it is considered a takeover start-up and the maximum credit is $50,000.

Tax credits for paid holidays: If you paid qualified sick or family leave related to Covid-19 or vaccinations through September 30, 2021, you may be eligible for a credit due to the Family First Coronavirus Response Act (FFCRA) and the American rescue plan (ARP).

Business interest expenses: You can deduct business interest expenses paid or accrued during the tax year, not to exceed the sum of your business interest income for the year, 30% of your adjusted taxable income (ATI) for the year and your taxpayer’s floor plan financing interest charges for the year. Certain small businesses are exempt from this limit, known as the Section 163(j) limitation.

Paycheck Protection Program (PPP) Loans: Currently, you can deduct expenses paid with PPP loans. Guidelines may change before tax time, so it is essential to diligently track payroll and fees paid with PPP funds or other government grants or loans.

Benevolent societySubmissions: Individuals can claim up to $300 in charitable donations (or $600 as a married couple filing jointly) even if they don’t itemize deductions. If you itemize, you can deduct cash donations to qualifying charities that are up to 100% of your adjusted gross income (AGI). C corporations can claim deductions of up to 25% of taxable income for cash contributions.

2022 will be the last year you can take full deductions for Section 179, bonus amortization, and qualifying business meals. While that may change, it’s a good idea to take advantage of these deductions before the January 1, 2023 deadline to acquire and put assets into use.

As in 2020, you can purchase certain capital assets and take full advantage of the Section 179 capital cost allowance in 2021 (known as the first-year expense). 2022 is the last year businesses can deduct 100% of qualifying expenses.

Although more and more people have been working from home during the pandemic, not everyone will be able to take advantage of the home office tax deduction. This tax relief is for the self-employed, freelancers, independent contractors, or gig workers.

Due to the Tax Cuts and Jobs Act of 2017, those who work for an employer in W-2 positions are no longer eligible for tax relief. However, if you worked for an employer but also had self-employment or were temporarily self-employed, you can claim the deduction during the months you worked in those positions, although you must have income from the employer. Annex C to be eligible.

Many deductions and credits expire in 2021. Take advantage of them now and consider how eliminating them could affect your income and corporate tax rate in 2022. Pay attention to the latest IRS guidance in any case.

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“Let’s Talk Business” is a weekly feature of the Emporia Region Chamber of Commerce and Visit Emporia. The Chamber’s mission is to be proactive in creating an environment conducive to business and community success, guided by the vision that positive attitudes foster positive actions. Contact us at 620-342-1600 or [email protected] and visit our website at www.emporiakschamber.org.