Can You Write Off a Storage Unit on Taxes for Business?
Can You Write Off a Storage Unit on Taxes for Business?
Yes, you can write off a storage unit on your taxes if used for business purposes. The cost of a storage unit is considered a deductible business expense under rent or storage costs. However, only the business-related portion can be deducted if the unit is used for personal and business items.
The IRS gives the green light on deducting storage unit costs—if they’re directly tied to your business. The key is whether the expense is “ordinary and necessary.” In IRS-speak, that just means it’s a common expense in your industry and genuinely useful for running your business.
So what kind of stuff qualifies? Think inventory you don’t have room for on-site, like seasonal stock or extra supplies.
Equipment like tools, machinery, or even extra desks and chairs for when you expand. Important business documents and files? Yep, those count too. And if you’re parking company vehicles or storing speciality gear that’s only used part of the year, you can also chalk that up.
Just make sure the storage is used strictly for business—not to stash your old college furniture or holiday decorations. Keep records, label your unit clearly, and stay organized—especially if you’re audited.
Short on time? Watch a quick explainer video instead 👇
