How to Categorize Business Receipts
Good receipt categorization makes tax time much easier. Here is how to organize your receipts throughout the year so you are not scrambling in April.
Common business expense categories
- Office supplies: Paper, ink, desk accessories
- Software and subscriptions: Apps, SaaS tools, cloud services
- Travel: Airfare, hotels, car rentals, rideshares
- Meals and entertainment: Client dinners, team meals (50% deductible)
- Professional services: Accounting, legal, consulting
- Marketing: Advertising, website hosting, promotional materials
- Utilities: Phone, internet, home office portion
- Insurance: Business liability, health insurance deductions
IRS requirements for receipts
The IRS requires receipts to show the amount, date, vendor name, and business purpose. For expenses over $75, a receipt is required. Below $75, a credit card receipt is sufficient.
How Slipsheet helps
Slipsheet extracts vendor, date, total, and tax from each receipt. You add the category in the review queue. The result is a clean CSV you can hand to your accountant or import into any tax software.
Tips for year-round organization
- Tag receipts by category as you confirm them, not at year-end
- Use a consistent vendor naming convention
- Keep notes on any receipt that might be ambiguous
- Export monthly and review before quarter-end