It’s important for small businesses to maximize profits whenever possible, and one way to make sure your company holds on to as much income as possible is by taking every possible legitimate tax deduction available come tax season. Not only can claiming deductions put money back into your company coffers at the end of the year, some can actually offer personal benefits besides: a nice car to drive at little cost, or combining business and vacation in one trip. Just be sure you pay attention to all of the IRS rules on what can and cannot be deducted.

1. Auto Expenses. Do you use your vehicle for business-related tasks, or does your company own its own car(s)? If so, you can legitimately deduct certain costs associated with driving and maintaining such vehicles. Do keep in mind, however, that if you use your car for both business and person use, you can only deduct expenses directly related to the business use. In this case, you must keep careful record of which use is business-related so you can accurately total it up when it’s time to do the company taxes.

2. Education Expenses. If your education expenses are business, trade, or occupation related, you can typically deduct them. Any such education expenses must be to maintain or build on skills required in your current position, or a legal requirement or employer-required condition for your job. Education you want to pursue for obtaining a new job does not qualify.

3. Client/Customer Entertaining. Whenever your business picks up the tab for entertaining present or potential customers, 50% of those expenses can be deducted provided that: (a) the expense is directly business-related and business is discussed during the event; or (b) the expense is related to the business and takes place immediately before or after a business discussion. Tip: It’s a good idea to write down the nature of the business-related discussion on the receipt so you don’t have to try and remember it months down the road.

4. Travel. Any time you travel for business, most of the expenses related to that can be deducted. For instance, plane fare, car operation/mileage, taxis, hotel fees, meals, telephone calls, faxes, internet fees, etc. Combining business and pleasure is allowed as long as business is the primary purpose for the trip and you only deduct your expenses if you take your family along.

5. Advertising/Promotion Expenses. Your company can deduct expenses associated with ordinary advertising of goods and services–including print ads, online ads, business cards, etc. Promotional costs intended to spread goodwill about your company (like sponsoring a school sports team) can also be deductible so long as the sponsorship provides a clear connection to your business (such as t-shirts for the team bearing your company’s name).