oboloo Glossary

Business Deduction Categories

oboloo Glossary

Business Deduction Categories

Business Deduction Categories (BDCs) are the ways businesses deduct costs from their taxable income. These deductions can be used for things like advertising, wages, insurance, business expenses, and other costs associated with operating a business. BDCs are important because they help businesses reduce their tax burden, making them more profitable overall. By taking advantage of deduction categories, businesses can ensure that they’re not paying taxes on income they haven’t earned. The key to effective business deduction is being informed about the different categories available and which ones can be used to maximize a business’s deductions.