Tax Write-Offs and Financial Perks of Coworking for SMEs and Freelancers
Running a small business or freelancing full-time means wearing many hats – and watching every dollar. One of the most underrated financial advantages of coworking? Tax deductions. If you’re working out of a space like Urban Collective, you could be claiming more than you think.
Here’s how coworking can lighten your financial load and increase your bottom line – especially when tax season rolls around.
1. Coworking Membership Fees = Tax Deductible
Your monthly coworking membership is considered a business expense – meaning you can claim it as a deduction. This includes:
- Hot desk or dedicated desk fees
- Private office rent
- Meeting room hire fees
Tip: Keep all invoices or receipts on file and make sure your membership is registered in your business or sole trader name.
2. Utilities, Printing & Office Supplies
Forget separate power bills or printer cartridges. When you cowork, utilities are bundled into your membership, and often, so are small office supplies like printing or WiFi. These are all legitimate business expenses you can claim come tax time.
3. Meeting Rooms and Presentation Spaces
Booked a meeting room to host a client pitch or run a workshop? If you’re charged hourly or daily, those fees can also be deducted as part of your business operating costs.
At Urban Collective, members have access to professional meeting rooms and boardrooms, which provide an affordable, tax-deductible alternative to hiring event spaces.
4. Equipment + Tech Write-Offs
While not specific to coworking spaces, your tools of the trade – laptops, monitors, phones, and even headphones – can also be written off if they’re used primarily for business.
And with the flexible setup of a coworking space, many members opt for portable setups and accessories that support remote or hybrid work.
5. Networking Events, Courses & Business Development
Many coworking spaces (like Urban Collective) offer:
- Networking events
- Workshops
- Masterclasses
- Mentoring sessions
If you pay to attend these or even sponsor them, they can be classified as professional development or marketing expenses.
A Final Note on Record Keeping
While coworking can offer real financial advantages, it’s important to:
- Keep digital or printed records of all expenses
- Ensure all deductions are clearly related to your business activity
- Speak to a registered accountant or BAS agent to confirm your claims
“Coworking has saved me more than just money on overheads – it’s helped streamline my business expenses and simplified my tax returns. It’s one of the smartest moves I’ve made as a freelancer.”
– David, One of our Urban Collective members
Ready to Reap the Financial Perks of Coworking?
At Urban Collective, we offer flexible packages, tax-friendly plans, and an environment that supports not only your productivity – but your profit margins too.
Book a tour or get in touch to explore our pricing and see how coworking can work harder for your business.