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Correct me if I'm wrong on this. I'm under the impression that if I pay WeWork to be able to work at their tables and drink their coffee, that's tax-deductible

Correct me if I'm wrong on this. I'm under the impression that if I pay WeWork to be able to work at their tables and drink their coffee, that's tax-deductible and a business expense. But if I buy drinks at a coffee shop to work there, it isn't? [1] This is something that doesn't make a lot of sense to me, as coffee shops are sort of a classic place for a freelancer to find space away from home to focus better. [1] https://www.sapling.com/40999/6-surprising-tax-deductions-for-freelancers https://www.sapling.com/40999/6-surprising-tax-deductions-fo...

mikekchar 6y ago
What is allowable as a deduction for taxes is not really based on logic or fairness. We don't have King Solomon sitting there adjudicating what is the reasonable course of action. There are just coarse rules. I'm in Japan, so my rules are likely different than yours. However, if I'm traveling for work, I can expense the cost of a place to work (including a cafe). In fact, my accountant demands it because if the government doesn't see some expenses when I travel, they start to get suspicious that I didn't travel at all. However, if I travel for my own benefit (even down to the corner coffee shop), then it is a personal expense. I can expense it if it is a monthly cost (and hence a necessary business expense of providing a place to work), but not a one-off case (a personal expense because I'm bored of where I'm working). There is (or was -- I haven't checked recently) a cafe in one of the neighbouring towns to me that rents tables by the month for exactly this reason. It's very affordable, because the tables are hot-swappable and they over-subscribe. Before Covid-19 I used to go to me mother in law's for a week ever month or so. I used to work in the hot spring. It's quite cheap: about $10 for the whole day. They have tables and chairs and power and a cafe (terrible, though -- one of the only really bad restaurants I've ever found in Japan). Plus I get to soak in the hot spring a couple of times during the day to relax. I bought a month's worth of tickets in the hope that I could convince my accountant to consider it an expense, but he said it was a no go. Still, it's totally worth it (as long as you can manage working in a very chaotic and noisy environment -- I have no problem with that, personally).
- em-bee 6y ago
  so you need that coffee subscription

mikekchar 6y ago

What is allowable as a deduction for taxes is not really based on logic or fairness. We don't have King Solomon sitting there adjudicating what is the reasonable course of action. There are just coarse rules. I'm in Japan, so my rules are likely different than yours. However, if I'm traveling for work, I can expense the cost of a place to work (including a cafe). In fact, my accountant demands it because if the government doesn't see some expenses when I travel, they start to get suspicious that I didn't travel at all. However, if I travel for my own benefit (even down to the corner coffee shop), then it is a personal expense. I can expense it if it is a monthly cost (and hence a necessary business expense of providing a place to work), but not a one-off case (a personal expense because I'm bored of where I'm working). There is (or was -- I haven't checked recently) a cafe in one of the neighbouring towns to me that rents tables by the month for exactly this reason. It's very affordable, because the tables are hot-swappable and they over-subscribe. Before Covid-19 I used to go to me mother in law's for a week ever month or so. I used to work in the hot spring. It's quite cheap: about $10 for the whole day. They have tables and chairs and power and a cafe (terrible, though -- one of the only really bad restaurants I've ever found in Japan). Plus I get to soak in the hot spring a couple of times during the day to relax. I bought a month's worth of tickets in the hope that I could convince my accountant to consider it an expense, but he said it was a no go. Still, it's totally worth it (as long as you can manage working in a very chaotic and noisy environment -- I have no problem with that, personally).

em-bee 6y ago
so you need that coffee subscription