The following is applicable in instances where you are working from your home to earn commission income or as a sole proprietor.
Income tax
The Income Tax Act makes it clear that any cost incurred in the production of your income will be tax deductible.
This provision indicates that household expenditure relating to your business will be tax deductible.
The following types of expenses can be deducted under certain circumstances:
- water and electricity (pro –rata);
- communication expenditure;
- coffee and tea (staff entertainment); and
- staff costs.
Insurance
Work / office related premiums..
Specific premium for using your private vehicle for business purposes.
SOURCES :
Cronje & Cronje
Business Partners
