Website Expenses as Tax Write Offs (Small Business Guide)
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Website Expenses as Tax Write Offs (Small Business Guide)

What usually qualifies, what to track, and how to document it

Garret GrantMarch 8, 20268 min read
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Your website is your 24/7 salesperson. Make sure it's working as hard as you do.

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If you are a small business owner, your website is not a vanity project. It is a business tool. That means many website costs are legitimate business expenses when documented correctly.

This guide breaks down what usually qualifies, how to keep clean records, and how to talk to your CPA. If you are still deciding whether the investment makes sense, start with Do I Need a Website for My Business? (2026 Guide) and Free Website Builders vs Professional Web Design (2025 Guide).

Table of Contents

  • 1. Website expenses that usually qualify
  • 2. Startup vs ongoing costs (why it matters)
  • 3. Design and development costs
  • 4. Content, SEO, and marketing tools
  • 5. Hosting, domains, and performance upgrades
  • 6. Documentation that makes deductions easy
  • 7. CPA-ready checklist
  • Next steps

1. Website Expenses That Usually Qualify

These are common website-related costs that are typically treated as business expenses when they are used solely for business operations. Always confirm treatment with your CPA.

  • Website design and development services
  • Hosting, domain, and SSL fees
  • CMS, plugin, and theme subscriptions
  • Copywriting, photography, or video used on the site
  • SEO work and analytics tools
  • Maintenance plans and support retainers

"If a cost keeps your website running or generating leads, treat it like any other operating expense and document it."

2. Startup vs Ongoing Costs (Why It Matters)

Some website costs may be treated differently depending on whether they are startup costs or ongoing operating expenses. A brand-new site build can be categorized differently than ongoing hosting, updates, or SEO.

The key is clarity: document what the expense was for, when it happened, and how it supports business operations. Your CPA can confirm whether anything should be capitalized or amortized based on your situation.

3. Design and Development Costs

Invoices from a web designer or developer should clearly show scope, deliverables, and dates. This makes it easy to classify the expense.

  • Initial site builds or rebuilds
  • New feature development (booking, payments, portal)
  • Accessibility or compliance updates
  • Conversion-focused design updates

If you need help estimating the business impact of a redesign, see 5 Signs Your Small Business Website Needs a Redesign.

4. Content, SEO, and Marketing Tools

Website content and SEO are usually operational expenses because they support lead generation. The most common write-offs include copywriting, SEO audits, and local SEO campaigns.

If you are investing in content, use Content That Converts: Website Copy for Small Businesses to make that spend profitable.

5. Hosting, Domains, and Performance Upgrades

Hosting, domain renewals, and speed improvements are ongoing business expenses. If you need a framework for picking hosting, use The Small Business Guide to Choosing Web Hosting.

Performance work that improves load time or stability is also a legitimate operating expense. See Why Page Speed Matters More Than Ever in 2026 for the business case.

6. Documentation That Makes Deductions Easy

The deduction is only as strong as the records behind it. Keep everything in one folder so your CPA can categorize quickly.

  • Invoices and receipts for every website-related expense
  • Contracts or proposals that explain the scope
  • Payment confirmations (bank or card statements)
  • Short notes explaining the business purpose

7. CPA-Ready Checklist

  • List every website expense by date and vendor
  • Label each expense (design, hosting, SEO, content)
  • Separate one-time builds from monthly subscriptions
  • Attach invoices and proof of payment
  • Confirm treatment with your CPA before filing

Next Steps

If you want your website to work like a real business asset, start with a clear scope and clean documentation. Explore our services or contact us to plan your next build or upgrade.