Owning a gym or fitness center means you’re no stranger to hard work, but why sweat more than you have to when it comes to taxes? Knowing what deductions you can claim is like finding that perfect workout routine—it saves you time, money, and a lot of headaches. Here are 10 tax deductions every gym owner should be flexing to keep more of those hard-earned gains in your business:
Your gym space is where the magic happens, and the rent or lease payments are among the most significant deductions you can grab. Whether you’re in a sprawling warehouse gym or a boutique fitness studio, the cost of keeping those doors open is a hefty tax write-off.
Your machines, weights, and other gym equipment are the muscle of your business, and they can work for you at tax time too. From treadmills to kettlebells, you can deduct depreciation over the years. And with Section 179, a tax code that allows businesses to deduct the full purchase price of qualifying equipment and/or software purchased or financed during the tax year, you could even deduct the full cost of new gear in the year you bought it.
Do you drive around for business purposes? Are you visiting clients for personal training sessions or hauling equipment? You can deduct those miles! Whether you track actual expenses or use the standard mileage rate, which is the rate set by the IRS for calculating the deductible costs of operating a vehicle for business purposes, make sure your business use of a vehicle is working out in your favor.
Those eye-catching social media ads and fitness challenges you run? They’re not just bringing in new members, they’re also bringing in tax savings! All your advertising and marketing expenses, such as costs for creating and distributing marketing materials, running social media campaigns, and hosting promotional events, are fully deductible.
Your team keeps the gym running, and the wages, bonuses, and even gym perks you offer them are tax-deductible. Paying your staff, offering health benefits, or contributing to their retirement plans? Write it off and give yourself (and them) a boost.
Gyms use a lot of power—whether it’s keeping the place cool, heating up the showers, or powering the machines. The good news is that all those utility bills, plus maintenance costs for keeping things running smoothly, are deductible. High energy bills don’t seem so bad when they help you cut taxes.
Keeping your gym spotless, especially in today’s world, is a must. Those cleaning supplies and sanitation services are doing more than keeping your space safe—they’re also a tax deduction. That means every wipe, spray, and scrub is helping you stay financially fit too!
You wouldn’t hit a new PR without a spotter, and your business shouldn’t tackle tax season without one either. Fees for accountants, legal advisors, or any consultant helping you grow your fitness empire? Totally deductible. Let the pros handle it while you focus on the gains.
Staying ahead in the fitness game means continuous learning. Whether you’re renewing your personal trainer certification or attending a new fitness seminar, those education and certification costs are tax-deductible. Your personal growth is not only building your business but also cutting down that tax bill.
Protecting your gym is crucial, and so is getting a break on your insurance premiums. Your general liability insurance, worker’s compensation, and even health insurance for your employees are deductible. Think of it as a financial safety net that keeps your business and bottom line secure.
Like a personal trainer pushes you to new heights, a tax advisor can help you flex those deductions and minimize your tax bill. If you want to get the most out of your business, let Axium CPA handle the heavy lifting of your taxes while you focus on helping others achieve their fitness goals.
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