Tax deductions for small businesses: identify allowable expense categories to reduce taxable income through proper documentation.
Small business taxpayers should claim ordinary revenue deductions under Sections 30-36 by categorising expenses and maintaining documentary proof. Core deductible categories include rent and utilities, employee compensation and statutory contributions, depreciation on business assets at prescribed rates, repairs and insurance treated as revenue expenses, travel and accommodation for business purposes with logs and receipts, advertising and professional fees with vendor invoices, business loan interest and bank charges, and office supplies/software. Apportion personal use, observe statutory caps (including provisions like Section 80D), deduct required TDS, and retain receipts to avoid disallowance. (AI Summary)