Need a Large Business Deduction This Year?

If you arrive at the end of the year and need a business or rental deduction to make sure that you don’t creep into the next tax bracket, then consider pre-paying 2020 expenses in 2019. You can pre-pay up to 1 year’s worth of 2020 expenses in 2019 and take a deduction for that pre-payment in 2019. You can pre-pay 12 months of phone bills, utilities, rent, supplies, insurance, etc. Remember, you get a deduction for what you charge on your credit card in 2019 on your 2019 return even if you don’t pay off the credit card until a future year.