Can dues and subscriptions expenses be deducted 100% to calculate taxable income in an LLC company?

Question

I'm using Quickbooks Online, "Dues & Subscriptions" is one of the expense accounts we have. I would like to know if this expense can be deducted 100% for calculating my taxable income. Our company is an LLC in WA state. Thanks.

Answer 1

The title of this account can be misleading. Simply because an “dues and subscriptions” expense exists as part of the balance in this account doesn’t mean that it’s tax deductible.

Not all “dues and subscriptions” are tax deductible and care should be taken in distinguishing those “dues and subscriptions” that are deductible and those that don’t qualify as a business expense.

Mainly, club memberships are not considered business expense. One suggestion is to segregate club memberships into a separate account titled “club memberships” in order to facilitate tax preparation at year end.

Check to see if your business pays for club memberships, or similar non-deductible dues, before creating a separate account.