Notary Tax Deductions & the Self-Employment Tax Exemption

There's one tax rule specific to notaries that most general small-business tax content never mentions, plus the full list of deductions that apply to running a notary or loan signing business.

Written by Ray, former commissioned California Notary Public (2018-2022) — general notarizations and loan signings.

The Notarial Fee Exemption (Get This Part Right)

The IRS Taxpayer Advocate Service confirms it directly: fees you earn for performing an official notarial act — an acknowledgment or a jurat — are generally not subject to self-employment tax. That's a real, meaningful exemption. But it's narrower than a lot of notary content makes it sound.

This is a distinction about which fee component you're being paid, not about your job title. Plenty of content frames this as "notaries don't pay self-employment tax, but loan signing agents do" — that's not quite right. If you're a loan signing agent, the pure notarial-fee portion of what you charge is still exempt. The travel fee, printing, and the flat rate you charge for handling the signing itself are not. Since loan signing agents typically earn most of their income from that non-exempt portion, the practical effect is similar, but the underlying rule is about the fee type, not the title.

You still have to report notarial fees as income — they're just excluded from the self-employment tax calculation specifically. This gets reported on Schedule C (Profit or Loss from Business), with Schedule SE (Self-Employment Tax) being where the exemption is actually applied. The IRS's own guidance points to Publication 334 and Tax Topic 554 for the details, and recommends reviewing the Schedule SE instructions carefully if notarial fees are your only Schedule C income.

Tax Deductions by Category

Separate from the exemption above, self-employed notaries and loan signing agents can deduct ordinary business expenses the same as any other small business. These generally fall into four categories.

1. Professional Expenses

Costs tied to becoming and staying a notary or signing agent:

• Notary commission fees and state filing costs
• Notary bond premiums
• Notary stamp, seal, and embosser
• Notary journal(s)
• E&O (errors and omissions) insurance and other business liability insurance premiums
• Training and certification costs (Loan Signing System, NNA background screening, continuing education)
• Business-related books and reference materials — see our recommended reading list

2. Administrative Expenses

Day-to-day costs of running the business:

• Office supplies and equipment — paper, pens, clipboards, a bag to carry it all, printers, scanners, ink, toner (see our printer guide and scanner guide)
• Home office costs, if you have a space used exclusively for business (a percentage of rent/mortgage interest, utilities, and insurance, or the IRS simplified home-office rate)
• Office or shared workspace rent, if applicable
• Phone and internet costs tied to business use
• Software — accounting/invoicing tools, mileage tracking apps, e-journal or RON platform fees (see our accounting software comparison and mileage tracking guide)
• Printing, postage, and shipping costs for loan documents
• Business bank account fees and credit card processing fees

3. Travel Expenses

For mobile notaries, this is usually the single largest deduction category — bigger than any of the above.

• Vehicle mileage for business trips (signings, deliveries, supply runs, business errands)
• Parking and tolls
• Lodging, meals, and car rental for trips that take you away from home overnight on business

Mileage has its own record-keeping rules and a rate that changes annually (and changed mid-year in 2026). Rather than restate a rate here that will go stale, see the full mileage tracking and deduction guide for the current rate, what qualifies, and a deduction calculator.

4. Marketing Expenses

Costs of getting found and getting booked:

• Business cards, flyers, and other print marketing
• Online directory listings — see our free marketing sites guide
• Website hosting, domain, and development costs
• Paid ads and social media promotion
• Professional photography for marketing materials
• Business meals with clients or referral partners (typically limited to 50% of the cost)

Frequently Asked Questions