Equipment and Supplies

• The equipment and supplies you need to run your business are all tax-deductible. For example, as a self-employed painter all of the equipment you use, such as brushes, ladders and paint, can be listed as a deduction. This also includes any office supplies needed for managing your business, such as a computer or laptop, a fax machine and even basic supplies such as pens and paper.
  
  

Health Insurance

• As someone who is self-employed, you're responsible for your own health care costs. Your health insurance is tax deductible.
  
  

Business Meetings

• If you meet with clients or partners to discuss business, the expenses of those meetings are deductible. This includes mileage to travel to the meetings as well as the costs of meals and entertainment. Keep in mind that meals and entertainment are 50 percent deductible rather than 100 percent deductible. Also be aware that these types of deductions are prone to audit, as many people try to "cheat the system" in this area. For this reason, be sure to keep records of who the meeting was with, contact information and business conducted during the meeting.
  
  

Child Care

• Child care may be a necessity for you if you are a self-employed parent. If so, day-care or babysitting costs are tax-deductible for times when you are working.
  
  

Office Space

• Whether you rent space or designate a room in your home as an office, the cost of doing so is tax-deductible. In the case of a home office, a percentage of your rent or mortgage is deductible based on the percentage of your home that your office takes up.
  
  

Internet and Phone

• Business related use of the Internet and telephone service is tax-deductible. This is true whether the services are enabled in your home or at the office, as long as the services are used for business purposes.