How to Pay Less Tax in 2025: Your Weekly Guide to Smarter Deductions

Every year, we see business owners missing out on easy deductions, leaving money unclaimed, or rushing during tax season due to a lack of planning. Typically, accountants only communicate with you annually. We’re changing that.

This week, we’re launching a new podcast: “The Silvers Financial Weekly Brief.” Each episode provides insights into current tax strategies, changes in laws, and practical ways to retain more of your money, whether you’re a business owner, lawyer, medical professional, or simply want to stay ahead of the IRS.

We’ll release a new episode weekly here on the blog and on LinkedIn. Tune in, send us your questions, and get straightforward answers you won’t find elsewhere.

Listen to this week’s episode here.

What Can You Actually Deduct in 2025?

• Ordinary and Necessary: If it’s common in your industry and aids in running your business, it’s usually deductible.

• Deductions Lower Your Bill: The more you claim, the less you owe. It’s that simple.

2025 Tax Law Updates: What’s New

• Bonus Depreciation: Reduced to 40% for new purchases (previously 100%).

• Section 179: Deduct up to $1,160,000 for equipment/software (ideal for upgrades).

• QBI (199A): Pass-throughs (S Corps, partnerships, sole proprietorships) receive up to 20% off qualified income, subject to limits.

• Mileage: 70¢ per business mile.

• 1099-K Reporting: Lowered to $2,500 (2025); decreases to $600 (2026). Expect more 1099-K forms from PayPal, Venmo, etc.

• SALT Cap: Lawmakers are considering increasing the $10K cap to $20K for joint filers. No guarantees.

Deductions You Probably Missed

• Startup costs (up to $5,000 in the first year)

• Home office (exclusive, regular use only)

• Health insurance premiums (self-employed or S Corp)

• Wages, payroll taxes, and contractor payments (remember your 1099-NECs)

• Retirement plan contributions (Solo 401k, SEP, pension)

• State/local business taxes, loan interest, merchant fees

• Education, training, and certifications

• Marketing/advertising - website, consulting, design, print

• Business travel & meals (strict rules - ask us for details)

• Vehicle expenses (track mileage or actual costs)

• Professional/legal fees

• Hiring your kids (legit work only)

• Renting your home to your business (Augusta Rule)

• Insurance, office supplies, tech/software, repairs

• Bad debts, relocation, and (for C Corps) charitable giving

• Child tax and dependent care credits

The Big Picture: Plan Now, Not in April

The largest tax savings occur through decisions made throughout the year, not just at tax time:

• Choose the right business structure (LLC? S Corp? C Corp?)

• Set up an accountable plan if you’re an S Corp owner

• Utilize every applicable tax credit (R&D, WOTC, energy, healthcare, etc.)

• Maintain clean, detailed records, separate accounts, automated tracking, saved receipts

• Don’t overlook California compliance if you’re based here

Why the Podcast?

You shouldn’t have to wait for your annual tax appointment to gain clarity or ask questions. Each week, our podcast covers a specific topic; new tax laws, overlooked deductions, or smart year-end strategies. Our aim: help you make smarter, quicker decisions, so you’re never surprised by a tax bill again.

Ready to listen? Click here for the latest episode. Have a topic you want covered? Send us your questions - we might feature it next week.