Can I deduct my website? - What you should consider for tax purposes

Basically yes - The website as a deductible business expense

The short answer is yes, in many cases you can deduct your website from your taxes. Whether it’s the monthly installments for a website in a subscription model or one-off costs for creation and maintenance – as an entrepreneur or freelancer, a website is usually considered a necessary business expense. This means that the costs incurred can be taken into account for tax purposes. But how exactly does this work? And what should you bear in mind when it comes to tax deductibility? We clarify the most important points.

What costs can you deduct?

Development costs and monthly installments

If you have opted for a subscription model such as 99-website, where you pay monthly installments for the development and maintenance of your website, these installments are generally fully deductible. They are considered ongoing operating expenses, as you need a functioning website to run your business.

SEO optimization and online marketing

Expenses for search engine optimization (SEO) and other forms of online marketing that are directly related to the website can usually also be deducted as operating costs. This also applies to advertising costs such as Google Ads if they are aimed at your website.

Hosting and domain costs

Costs for hosting your website and for domain registrations are also considered operating expenses and can be deducted. These items fall under “ongoing IT costs” and are considered necessary costs for operation.

Maintenance and care costs

Regular updates, maintenance or technical support of the website, as offered by many providers as part of a comprehensive all-round carefree package, also count as business expenses. Such services ensure the smooth operation of your online presence and can therefore be claimed for tax purposes.

How does the deduction of website costs work?

Indicate as operating expense

The monthly installments for the website, maintenance costs, hosting fees and all other relevant expenses are recorded as operating expenses in your company’s profit and loss account. This reduces the taxable profit and thus reduces your tax burden.

Amortization of non-recurring costs

If you have purchased the website with a high one-off payment rather than a subscription model, it could be an investment that needs to be depreciated. As a rule, the amortization period for self-created intangible assets (such as websites) is three years. The annual amortization is then claimed as an operating expense.

Special regulations for freelancers and the self-employed

Freelancers and the self-employed are subject to similar tax regulations as companies. The costs of the website – whether in the form of monthly payments or as a major investment – can also be recognized as business expenses. It is important that the website is actually used for business and not purely for private purposes.

What you should bear in mind with regard to deductibility:

Collect receipts

You will always need receipts for the costs to be recognized for tax purposes. Make sure you keep all invoices and contract documents for your website in a safe place.

Clear separation of private use

If the website is also used privately, you must deduct this share from the operating expenses accordingly.

Ask your tax advisor

As tax regulations are sometimes complex and can change, it is advisable to consult a tax advisor. They can tell you exactly which costs you can deduct and how.

Conclusion – use your website as a tax break

The costs for your website, whether as a monthly subscription or a one-off investment, are tax-deductible in many cases. From development and hosting to regular maintenance, numerous items can be claimed as business expenses. At 99-website, we offer flexible models that not only give you a professional online presence, but can also bring you tax benefits. Your website will not only be a success factor for your business, but will also reduce the burden on your tax balance sheet – a win-win situation!

Tax tips for your website

Can I deduct my website? - What you should consider for tax purposes

Basically yes - The website as a deductible business expense