10 Business Expenses Self-Employed People Often Forget

Self-employed people in Switzerland can deduct a variety of business expenses from their taxes. In the rush of day-to-day business, however, smaller expenses are quickly forgotten. Yet even seemingly insignificant costs can add up over the course of the year and reduce taxable profit.
Whether home office, software subscriptions or business travel: many self-employed people do not make use of all available tax deductions. We show you ten business expenses that are frequently overlooked and explain what to look out for in your bookkeeping.

Which business expenses are tax-deductible in Switzerland?

In principle, self-employed people in Switzerland may deduct from their business income all costs that are justified on business or professional grounds. What matters is that the expenses are connected to the self-employed activity and can be documented accordingly. Under Article 27 of the Federal Act on Direct Federal Taxation (DBG), such expenses can be taken into account when determining taxable income. It is important, however, to distinguish between business and private expenses. Costs that serve exclusively private living purposes are not deductible as business expenses. Where certain items or services are used both privately and for business, the private share must in principle be separated out. You can find a detailed overview in our article Deductible expenses for self-employment.

1. Home office and proportionate room costs

Many self-employed people work from home. It is often forgotten that, under certain conditions, a proportionate share of room costs can also be taken into account as a business expense.

These include, for example:

• A proportionate share of rent for a room used for business purposes
• Utility costs incurred for business reasons
• Costs for furnishing and equipping the workspace

Important: A home office deduction is not automatic. Whether and to what extent room costs are accepted depends in particular on the actual business use and the circumstances of the individual case. Working occasionally at the kitchen table is generally not enough.

2. Telephone and internet costs

Telephone and internet are indispensable for many self-employed people. Nevertheless, these expenses are not always fully recorded in the bookkeeping. Anyone who also uses their private internet connection or smartphone for business can in principle claim the verifiable business share of the costs.
Example: If a self-employed graphic designer uses her mobile phone plan 60 percent for business purposes, she can claim this share as a business expense with appropriate justification.

Tip: Document a comprehensible split between business and private use.

3. Software subscriptions and digital tools

Digital services often generate recurring costs. Smaller monthly amounts in particular are quickly forgotten when recording business expenses.

Potentially deductible expenses include:

• Accounting and invoicing software
• Cloud storage and hosting services
• Project management tools
• Design and image editing software
• AI applications used for business purposes
• Video conferencing and communication tools

Tip: Regularly check your credit card statements and digital subscriptions. Many of these costs are charged automatically and are therefore easily overlooked.

4. Business trips with a private vehicle

Not all self-employed people have their own business vehicle. However, anyone who uses their private car for client appointments, deliveries or other business journeys can in principle claim the corresponding vehicle costs as business expenses.

Careful documentation of the journeys is particularly important.

A logbook should, for example, contain the following information:

• Date of the journey
• Starting point and destination
• Business purpose
• Kilometres driven

Depending on the situation, either the actual business costs or a mileage allowance accepted for tax purposes can be taken into account.

Important: Journeys without a business connection must not be recorded as business expenses.

5. Professional development and specialist literature

Anyone who is self-employed needs to keep their professional knowledge up to date. Yet professional development in particular is not always recognised as a potential business expense.

Business-related expenses can include, for example:

• Profession-specific seminars and workshops
• Specialist conferences
• Specialist books and journals
• Online courses for professional development
• Industry-specific training

What matters is the connection to the self-employed activity.

For example, a self-employed IT consultant can in principle record the costs of business-related training in cybersecurity as an expense.

For training without a sufficiently close business connection, the tax treatment must be examined separately.

6. Bank fees and payment service providers

When it comes to bookkeeping, many self-employed people think of larger invoices first. Smaller bank fees, on the other hand, are frequently overlooked.

Potentially deductible business expenses include:

• Fees for business accounts
• Costs for business bank transfers
• Fees charged by payment service providers
• Business-related credit card fees
• Interest on business loans

Businesses that process many payments through digital payment providers in particular should review these fees regularly.

Tip: Do not only record the net amount of a customer payment, but also correctly record the separately charged transaction fees in your bookkeeping.

7. Marketing and advertising costs

Advertising is an important part of customer acquisition for many self-employed people. Nevertheless, smaller marketing expenses in particular are not always recorded consistently.

These can include:

• Advertising on Google and social media
• Creation and maintenance of the company website
• Business cards and flyers
• Domain and hosting costs
• Costs for advertising material
• Professional business photos

As long as these costs are justified on business grounds, they can in principle be taken into account as business expenses.

Tip: Even smaller advertising expenses should be documented consistently. Over an entire financial year, they can add up to a significant amount.

8. Client meals and business catering

A lunch with a potential client or a business dinner with a project partner can serve a business purpose.

Such expenses are tax-deductible under certain conditions.

Particularly important are:

• A clearly comprehensible business occasion
• An appropriate cost level
• Documentation of the people attending
• A corresponding receipt

Private restaurant visits or ordinary personal meal costs, on the other hand, must not simply be recorded as business expenses.

Tip: Note directly on the receipt or in your accounting software who the business meal was with and what business purpose it served.

9. Insurance for self-employed activity

Insurance is an important part of a company's financial security. Yet not all self-employed people fully record the corresponding premiums as business expenses.

Business-related insurance costs can include, for example:

• Business liability insurance
• Professional liability insurance
• Business legal protection insurance
• Property insurance for business inventory
• Cyber insurance for the business

What matters is that the insurance actually covers a business risk.

Private insurance and personal pension contributions, on the other hand, are subject to different tax rules and cannot simply be recorded as ordinary business expenses.

10. Smaller purchases and office supplies

A new monitor, a computer mouse or an additional office chair: smaller purchases are often paid for directly in everyday business and then forgotten in the bookkeeping.

Potential business expenses include:

• Office supplies and printer paper
• Computer accessories
• Work equipment used for business purposes
• Smaller office furnishings
• Repairs and maintenance of business equipment

However, it should be noted that not every purchase may be fully deducted as an expense immediately.

For larger or long-term investments, capitalisation with subsequent depreciation may be required. You can read more in our article Tax treatment of investments in self-employment.

How can self-employed people best record their business expenses?

Structured bookkeeping is essential to ensure that tax-deductible business expenses are not forgotten.

The following measures are particularly helpful:

1. Separate private and business expenses: A separate business account makes it easier to keep track.
2. Keep receipts consistently: Digital receipts should be archived completely, legibly and traceably.
3. Record expenses regularly: Keeping your bookkeeping continuously up to date reduces the risk of forgotten costs.
4. Document mixed use: For telephone, internet or vehicles, the business share should be stated plausibly.
5. Prepare the annual financial statements carefully: Check whether all business costs and period-appropriate accruals have been taken into account.

Careful bookkeeping not only makes the tax return easier, but also provides a better overview of the company's financial situation.

Conclusion: Even small business expenses can be relevant for tax purposes

Self-employed people in Switzerland have numerous opportunities to claim business-related expenses for tax purposes. It is often precisely the small, regularly recurring costs that are overlooked in day-to-day business.

Anyone who fully documents and correctly records their business expenses can reduce their taxable profit while improving the quality of their bookkeeping.

The key is not to deduct as many expenses as possible, but to correctly account for all costs that are actually business-related.

Do you need support with your bookkeeping or tax return?

Findea.ch supports self-employed people and SMEs in Switzerland with bookkeeping, annual financial statements and tax matters. With professional support, you keep track of your finances and can make optimal use of your tax options.

Frequently asked questions (FAQ)

Which business expenses can I deduct as a self-employed person in Switzerland?

In principle, you can deduct costs that are justified on business or professional grounds. These include, for example, office supplies, software subscriptions, business vehicle costs, marketing expenses and certain professional development costs. The expenses must be documented in a traceable manner.

Can I deduct my home office from my taxes?

Under certain conditions, a proportionate share of room costs can be taken into account. The decisive factors are, in particular, the business use of the room and the tax requirements in the individual case.

Are business meals tax-deductible?

Business-related and reasonable entertainment costs can in principle be deductible. The business purpose should be documented. Private restaurant visits are not deductible as business expenses.

Can I deduct my private mobile phone for business?

Yes, insofar as the phone is demonstrably used for business purposes, the corresponding share of the costs can in principle be taken into account. Private use must be separated out appropriately.

Do I need a receipt for every business expense?

Business expenses must be verifiable in a traceable manner. Invoices, receipts and other suitable accounting documents are therefore important. The statutory retention and documentation obligations must be complied with.