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Tax Deductions Checklist

Online Course Creator Tax Deductions Checklist (2026)

2026 tax deduction checklist for online course creators. Maximize write-offs on recording equipment, hosting platforms, marketing, and production costs.

Agnė, founder of Categorize My Expenses
Written by Agnė

Key Takeaways

  • If you launch courses with a webinar funnel, track your cost per student acquisition by dividing total ad spend plus platform fees by the number of students enrolled. This informs both pricing and tax strategy.
  • Consider pre-paying annual subscriptions (Kajabi, ConvertKit) in December to shift deductions into the current tax year during a high-revenue period.
  • Keep separate tracking for each course, including production costs, platform fees, and ad spend. This helps you determine which courses are profitable and supports detailed expense documentation.

Online course creators invest in recording equipment, hosting platforms, email marketing, and production contractors to build and sell their courses. These expenses are fully deductible against your course revenue. This checklist covers every deduction available to course creators filing their 2026 Schedule C.

Use this interactive checklist to review every deduction you might be eligible for. Check off items as you go to track your progress. Each deduction includes the Schedule C line where it belongs, plus a concrete example specific to your profession.

Your Deductions Checklist

0 of 23 deductions reviewed0%

Recording and Production Equipment

Schedule C, Line 22 - Supplies

Cameras, microphones, lighting, and other gear for creating course content.

Partial deduction

DSLR, mirrorless camera, or high-quality webcam for filming course lessons.

Example: Sony ZV-E10 at $700 or Logitech Brio at $200.

Partial deduction

USB or XLR microphone for clear audio recording.

Example: Blue Yeti at $130 or Shure SM7B at $400 plus audio interface at $150.

Commonly missed

Ring lights, softboxes, or panel lights for professional video quality.

Example: Two-light softbox kit at $100 plus ring light at $50 ($150).

Commonly missed

Teleprompter for reading scripts while maintaining eye contact.

Example: iPad teleprompter mount at $150.

Commonly missed

Background materials for a professional filming environment.

Example: Green screen or branded backdrop at $80, bookshelf props at $100 ($180).

Software and Hosting Platforms

Schedule C, Line 18 - Office Expenses

Course hosting, editing software, and digital tools for content creation.

Teachable, Thinkific, Kajabi, or Podia subscription for hosting courses.

Example: Kajabi at $149/month ($1,788/year).

Partial deduction

Final Cut Pro, Adobe Premiere, or DaVinci Resolve for editing lessons.

Example: Adobe Premiere Pro at $22.99/month ($276/year).

Commonly missed
Partial deduction

Loom, ScreenFlow, or Camtasia for recording tutorials and demos.

Example: Camtasia at $313 one-time or ScreenFlow at $175.

Commonly missed
Partial deduction

Canva, Figma, or Photoshop for creating slides and thumbnails.

Example: Canva Pro at $12.99/month ($156/year).

Commonly missed
Partial deduction

Storage for raw video files, assets, and project backups.

Example: Google One or Dropbox at $15/month ($180/year).

Marketing and Sales

Schedule C, Line 8 - Advertising

Expenses for promoting and selling your online courses.

Paid advertising to drive traffic to course sales pages.

Example: Facebook ads at $500/month ($6,000/year).

YouTube ads for promoting course launch videos.

Example: YouTube ads at $200/month ($2,400/year).

ConvertKit, ActiveCampaign, or Mailchimp for building and nurturing your list.

Example: ConvertKit at $49/month for 3,000 subscribers ($588/year).

Commonly missed

WebinarJam, Demio, or Zoom for hosting live webinars and launches.

Example: WebinarJam at $39/month ($468/year).

Commonly missed

Commissions paid to affiliates who promote your courses.

Example: 30% affiliate commission on $20,000 in affiliate-referred sales ($6,000/year).

Production and Support Contractors

Schedule C, Line 11 - Contract Labor

Freelancers who help create, edit, and support your courses.

Freelance editor for polishing course videos.

Example: Video editor at $50/hour, 100 hours ($5,000/year).

Commonly missed

Designer for course slides, thumbnails, and sales page graphics.

Example: Freelance designer at $500/course for 3 courses ($1,500/year).

Commonly missed

Writer for course descriptions, landing pages, and email sequences.

Example: Copywriter for sales page at $1,500 plus email sequence at $800 ($2,300/year).

VA for student support, community management, and administrative tasks.

Example: VA at $20/hour for 10 hours/week ($10,400/year).

Home Studio and Office

Schedule C, Line 30 - Business Use of Home

Dedicated space for recording, editing, and managing your course business.

Partial deduction

Dedicated space for recording and editing course content.

Example: 200 sq ft studio at $5/sq ft simplified method ($1,000/year).

Partial deduction

High-performance computer for video editing and production.

Example: MacBook Pro at $2,500 with 85% business use ($2,125 deductible).

Commonly missed
Partial deduction

High-speed internet for uploading large video files.

Example: 80% business use of $100/month internet ($960/year).

Commonly missed

Acoustic panels, foam, and soundproofing for your recording space.

Example: Acoustic panels and foam at $200.

Common Mistakes to Avoid

Not deducting course platform fees because they are automatically deducted from earnings

Report gross course sales as income and deduct platform fees separately. Kajabi, Teachable, and similar platforms provide annual fee summaries.

Forgetting to deduct affiliate commissions paid to promoters

Track every affiliate payout and issue 1099-NEC forms for affiliates paid $600 or more. These commissions are deductible advertising expenses.

Overlooking recording equipment and soundproofing as business expenses

Cameras, microphones, lighting, and acoustic treatment are all deductible. These are essential tools for your business.

Not claiming video editor and VA contractor payments

All contractor payments are deductible. Collect W-9 forms upfront and issue 1099-NEC forms for payments exceeding $600.

Missing the deduction for your own continued education in your teaching subject

Courses, books, and training that keep you current in your subject matter are deductible professional development expenses.

Quick Reference: Deductions at a Glance

ExpenseSchedule C Category
Camera for video recording*Recording and Production Equipment (Line 22 - Supplies)
Professional microphone*Recording and Production Equipment (Line 22 - Supplies)
Lighting equipmentRecording and Production Equipment (Line 22 - Supplies)
TeleprompterRecording and Production Equipment (Line 22 - Supplies)
Backdrop and set dressingRecording and Production Equipment (Line 22 - Supplies)
Course hosting platformSoftware and Hosting Platforms (Line 18 - Office Expenses)
Video editing software*Software and Hosting Platforms (Line 18 - Office Expenses)
Screen recording software*Software and Hosting Platforms (Line 18 - Office Expenses)
Graphic design tools*Software and Hosting Platforms (Line 18 - Office Expenses)
Cloud storage for course files*Software and Hosting Platforms (Line 18 - Office Expenses)
Facebook and Instagram adsMarketing and Sales (Line 8 - Advertising)
YouTube advertisingMarketing and Sales (Line 8 - Advertising)
Email marketing platformMarketing and Sales (Line 8 - Advertising)
Webinar platformMarketing and Sales (Line 8 - Advertising)
Affiliate commissionsMarketing and Sales (Line 8 - Advertising)
Video editorProduction and Support Contractors (Line 11 - Contract Labor)
Graphic designerProduction and Support Contractors (Line 11 - Contract Labor)
Copywriter for sales pagesProduction and Support Contractors (Line 11 - Contract Labor)
Virtual assistantProduction and Support Contractors (Line 11 - Contract Labor)
Home office/studio deduction*Home Studio and Office (Line 30 - Business Use of Home)
Computer for editing*Home Studio and Office (Line 30 - Business Use of Home)
Internet service*Home Studio and Office (Line 30 - Business Use of Home)
Soundproofing materialsHome Studio and Office (Line 30 - Business Use of Home)

* = business-use percentage only (partial deduction)

The Bottom Line

Online course creators can deduct recording equipment, hosting platforms, marketing costs, contractor payments, and home studio expenses. Marketing and contractor costs are typically the largest deductions. Track every platform fee, ad dollar, and contractor payment to minimize your tax burden.

If you want to get your bank and credit card transactions sorted into the right Schedule C categories without building a spreadsheet, that is what Categorize My Expenses does. Upload your statements, review the AI-suggested categories, and get an organized report for your tax filing.

Disclaimer: This checklist is for educational purposes only and does not constitute tax, legal, or financial advice. Tax rules change, and individual situations vary. Consult a qualified tax professional for advice specific to your situation. Categorize My Expenses is a financial data organization tool. It is not a tax preparer and does not provide tax advice.

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