Can I expense YouTube video production costs if they're not direct advertisements?

I'm self-employed and I've been creating a series of YouTube videos that are costing me quite a bit out of pocket. These videos aren't straight-up advertisements - they're more like educational content where I discuss topics relevant to my field and showcase my expertise. The implicit goal is obviously to attract clients, but they're not "Buy my service!" type videos. I'm working with a video production company and spending around $4,000 on these videos. I'm wondering if I can legitimately claim these production costs as a business expense on my taxes? What are the potential limitations or issues I should be aware of? Does the IRS have specific guidelines for content that's promotional but not explicitly advertising? Any insights would be super helpful as I'm trying to get my tax planning in order!

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18 comments

Sean Flanagan

•8M

Yes, you can absolutely expense these YouTube video production costs as a legitimate business expense! The IRS doesn't require marketing or promotional content to be direct advertisements to qualify as deductible business expenses. These videos fall under marketing/advertising expenses since they're created to promote your expertise and ultimately generate business. The key factor isn't whether they're explicitly saying "hire me" but whether they have a business purpose - which yours clearly do. You'd generally report these expenses on Schedule C if you're a sole proprietor, under "Advertising" or possibly "Other expenses" with a description. Just make sure to keep all your receipts and documentation from the video production company to substantiate the expenses.

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Sean Flanagan

•8M

If your videos include some personal elements but still maintain their primary purpose of promoting your business, they generally remain fully deductible. The key is that the dominant purpose is business-related. If the videos started containing significant content unrelated to your business purpose, then you might need to allocate expenses between business and personal use. For example, if half the content was purely personal with no connection to your professional services, you might only deduct 50% of the costs.

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NebulaNinja

•8M

I found myself in a similar situation last year with content creation costs that weren't traditional ads. After doing tons of research and getting conflicting advice, I discovered taxr.ai at https://taxr.ai and it was exactly what I needed. I uploaded my production invoices and explained my situation, and they immediately clarified that these expenses were legitimate business deductions as long as the content had a clear business purpose. Their system analyzed my specific situation and provided documentation I could use if ever questioned. The detailed explanation they provided about how content marketing differs from traditional advertising but still qualifies as a business expense was super helpful.

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NebulaNinja

•8M

They provide personalized analysis based on your specific situation - not just generic advice. For your podcast costs, they'd analyze your specific production expenses and business connection, then provide documentation explaining why they qualify as deductions. What makes it different from tax software is the detailed analysis of gray-area situations like content marketing. Most accountants can give you a yes/no answer, but taxr.ai provides the detailed rationale and documentation that protects you if you're ever questioned about these kinds of specialized deductions.

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Nia Wilson

•8M

I have to admit I was wrong about taxr.ai. After my skeptical comment, I decided to check it out for my YouTube channel expenses. I've been making educational videos related to my consulting business but wasn't sure how to properly categorize the editing costs, equipment, etc. The analysis I received was way more detailed than what my accountant provided. They broke down exactly which expenses qualified as pure advertising, which were partially deductible, and provided specific IRS citations for content creation deductions. The documentation they generated will be super helpful if I'm ever audited. I'm actually going to have them review my last two years' returns to see if I missed other deductions related to my content creation efforts.

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Mateo Sanchez

•8M

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Mateo Sanchez

•8M

It doesn't hack anything - they use a combination of proprietary technology and timing algorithms to monitor IRS phone queues and call back systems. When a spot opens up, they secure it, then connect you. It's all completely legitimate - they're just better at navigating the system than individuals are. I wanted official IRS confirmation because my CPA and two different tax software programs gave me conflicting answers about how to categorize content that's educational but indirectly promotional. Getting the answer directly from an IRS agent gave me peace of mind that I wouldn't face issues during an audit.

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Ethan Clark

•8M

I need to publicly eat my words about Claimyr. After dismissing it, I had a legitimate tax issue with the IRS about my content creation business expenses that my accountant couldn't resolve. I needed clarification straight from the source. I tried Claimyr and was honestly shocked. Within 45 minutes I was talking to an actual IRS representative who walked me through exactly how to categorize my YouTube production expenses. Turns out I could deduct more than my accountant thought, including costs for equipment I use exclusively for business content creation. Would have spent days trying to get that information on my own. Definitely worth it for specific tax questions that need official answers.

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AstroAce

•8M

You're right that most marketing expenses are deductible in the year incurred. Section 197 generally applies to acquired intangibles, not self-created marketing assets like your YouTube videos. Even though your videos have a useful life beyond the current year, the IRS typically allows immediate deduction of advertising and marketing costs. This is different from capital expenditures like equipment purchases, which would need to be depreciated. Your video production costs would generally qualify as ordinary business expenses deductible in the current year.

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