5 Tax Deductions DFW Small Business Owners Miss Every Year

If you're running a small business in Plano, Richardson, Frisco, or anywhere in DFW, you're probably leaving money on the table. Not because you're bad at business—because the tax code is a maze and nobody handed you a map.

The short version? Most small business owners I work with miss at least 2-3 legitimate deductions that could save them thousands. Let's fix that.

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1. The Home Office Deduction (Yes, It's Still a Thing)

If you work from home—even part-time—you might qualify. The IRS gives you two options:

• Simplified method: $5 per square foot, up to 300 sq ft ($1,500 max)
• Actual expense method: Calculate the real percentage of your home used for business

Here's the catch: the space has to be used regularly and exclusively for business. Your kitchen table doesn't count. That spare bedroom you converted into an office? That counts.

Real talk: I see DFW business owners skip this one because they're scared of audits. The home office deduction doesn't trigger audits—bad record-keeping does. Document it properly and take what you're owed.

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2. Your Car (More Than Just Gas)

Driving to meet clients in Dallas? Picking up supplies in Carrollton? That mileage adds up fast.

For 2026, the IRS rate is 72.5 cents per mile for January through June and 76 cents per mile starting July 1. If you drive 10,000 business miles, that's over $7,400 in deductions. But you need to track it—a notes app works, or use an app like MileIQ.

Pro tip: You can also deduct parking and tolls on top of mileage. Most people forget those. That $15 parking at a client meeting in Plano? Deductible. The toll on the Dallas North Tollway? Deductible. Compare mileage vs actual expenses →

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3. Health Insurance Premiums

If you're self-employed and paying for your own health insurance, those premiums are deductible. This includes:

• Medical, dental, and vision for you
• Coverage for your spouse and dependents
• Long-term care insurance (with limits)

This one hits different when you're paying $800+/month for a family plan. That's nearly $10,000/year you might be forgetting to deduct.

The catch: You can only deduct up to your net self-employment income. And if you're eligible for coverage through a spouse's employer, things get complicated. Worth a conversation with your CPA.

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4. Retirement Contributions (The SEP-IRA Move)

Here's a game-changer: with a SEP-IRA, you can contribute up to 25% of your net self-employment income, maxing out at $72,000 for 2026.

That's money that:

1. Reduces your taxable income NOW
2. Grows tax-free until retirement

Example: A Richardson consultant earning $150,000 net could contribute $37,500 to a SEP-IRA. At the 32% bracket, that's $12,000 in tax savings this year alone.

A Solo 401(k) can be even better if you want to max out contributions. Worth a conversation.

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5. Professional Development & Subscriptions

That conference you attended? Deductible. Those business books and courses? Deductible. Software subscriptions for your business? Also deductible.

This includes:

• Industry conferences and workshops
• Online courses related to your business
• Professional memberships and certifications
• Business software (QuickBooks, Slack, Zoom, etc.)
• Business podcasts and publications (yes, really)

I see Plano and Frisco business owners skip these because they seem "too small." Those $30/month subscriptions? That's $360/year each. Add them up.

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The Mistakes I See All the Time

• Not tracking expenses in real-time — scrambling at tax time = missed deductions
• Mixing personal and business accounts — makes everything harder to prove
• Assuming "it's too small to matter" — those $50 expenses add up to thousands

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The Bottom Line

You work hard for your money. Don't give more to the IRS than you have to.

If you're a small business owner in Plano, Richardson, Frisco, or anywhere in DFW and you're not sure you're catching everything—let's talk. Sometimes a quick review is all it takes to find a few thousand dollars you didn't know you were missing.

Think you're missing something? Let's find out →

— Krystal Le, CPA

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LeCPA helps small business owners across Plano, Richardson, Carrollton, Frisco, and Dallas keep more of what they earn. Book a discovery call →

Sources:

• IRS: Home Office Deduction
• IRS: Standard Mileage Rates
• IRS Publication 334: Tax Guide for Small Business
• IRS: Retirement Plan Contribution Limits (COLA Increases)