Deductions for a self-employed or contract anesthesia provider may include travel expenses, continuing education expenses, licensing fees, any work supplies, and home office expenses to name a few. There could be many more. To qualify as a deductible expense, the IRS states an expense must be “ordinary” and “necessary”.
Yes, you may deduct startup expenses and organizational costs from before the LLC is created. Once the LLC is created, I would suggest you open a bank account under the LLC’s name to process all income and expenses through that account. This will make keeping track of all your business income and expenses much easier.
Besides keeping track of your expenses in your business bank account, I would also suggest taking note of your starting vehicle mileage, and keep track of each business-related trip in order to calculate your business vs personal mileage at the end of the year.
If you’d like to take the home office deduction, you could also designate an area in your home that could be used exclusively and regularly for your wife’s work. This could mean the area where she writes her patient notes or does her admin work such as her bookkeeping.
I hope these ideas helped!
