Computer & Laptop
Computers, laptops, and peripherals used for content creation and editing.
Tax Form
Schedule C, Line 13
Estimated Savings
$500-5,000/year
IRS Reference
Publication 946
How It Works
Computers and laptops used for your content creation business are deductible. Under IRS rules, computers are classified as 5-year property for depreciation purposes. You can either deduct the full cost in the year of purchase using Section 179, or depreciate over 5 years using MACRS. Peripherals like monitors, keyboards, mice, and external drives are also deductible.
IRS Rules & Requirements
- Computers are 5-year MACRS property for depreciation
- Can elect Section 179 to deduct full cost in year of purchase
- If used for both business and personal, only deduct business percentage
- Peripherals (monitors, keyboards, mice) are also deductible
- Keep records documenting business use percentage
Real Examples
MacBook Pro for video editing at $2,500 = deductible based on business use %
Gaming PC for streaming at $2,000 (100% business use) = fully deductible
External monitor for editing at $500 = fully deductible if 100% business
Common Mistakes to Avoid
- Not tracking business vs personal use percentage
- Forgetting to deduct peripherals and accessories
- Not documenting the business purpose
- Missing Section 179 election for immediate deduction
Pro Tip
If your computer is used 80% for business and 20% personal, you can deduct 80% of the cost. Keep a log of your usage to support this allocation.
Related Deductions
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