Is my internet bill tax-deductible?

With the annual April 15 tax deadline fast approaching, you may be scrambling to find as many deductions as possible to lower your tax liability. 

You use the internet to work from home, so that must be a deductible expense, right?

Not so fast. The Internal Revenue Service (IRS) distinguishes between working from home and running a business from your home.

One is deductible, the other is not.

Can I write off my internet bill if I work from home?

If you work remotely for an employer, meaning you receive a Form W-2, you cannot deduct your internet bill. (Not to make you feel bad, but before 2018 when the laws changed, you could actually claim your internet costs.)

However, if you are self-employed and run a business from your home or a freelance contractor, yes, you may deduct a portion of your internet expenses.

When is my Wi-Fi bill nondeductible?

You cannot deduct your internet bill when you work for someone who provides you with a W-2.

How to write off Wi-Fi for business

To claim your Wi-Fi as a business expense, you must itemize your deductions rather than just file a regular income tax return.

Remember, what you do for a living will also help the IRS determine if they accept your deductions. For instance, if you run a medical billing business from your living room, it’ll most likely be viewed as a legitimate workday expense. However, if you’re a contract house painter, the IRS may question why you’d need internet access for eight hours daily.

That said, you can deduct a home office and its expenses — like utilities — if you run your own business. Business Insider reminds you to consider only deducting part of those bills if you use them for business and personal use.

“You have two options for how to deduct your internet bill, either as a home business tax deduction or separately on Schedule C,” shares FlyFin. “If you’re not taking the home office write-off, you’ll need to report your internet deduction on Schedule C and attach it to your Form 1040.”

You can use Form 8829 to figure out allowable expenses on Schedule C.

Taxes are due April 15, 2025, but you can apply for an extension to October with the IRS by April 15.