Tax season is among the most dreaded times of the year for many workers across the country. For construction workers, tax season is a little more difficult. A large majority of construction workers are classified as independent contractors, meaning they don’t have taxes withheld from their paychecks like traditional employees. Essentially, they face a more severe tax preparation burden and may need to see a tax professional, although they are able to claim business-related expenses as tax deductions.
But, don’t worry. However intimidating taxes may appear, BlueTape is here to give you more information, tips, and tricks in navigating tax season.
Understanding Tax Deductions
Tax deductions help small businesses avoid paying high costs in taxes by decreasing their tax liability. At tax time, qualifying expenses that your business gains during the year can be written off to reduce your tax burden. These rules are particularly helpful when your business is claiming a loss and can not muscle high tax fees.