ADA Compliance for Small Business: Accessibility And Tax Benefits

Making your business ADA-compliant is about more than just avoiding lawsuits; it’s about being inclusive of all and reaching a bigger audience, both digitally and physically.

From tax credits to long-term growth, accessibility is a business investment with measurable returns.

Key Takeaways

  • ADA compliance applies to both physical and digital businesses
  • Small businesses can claim up to $5,000 in tax credits
  • Non-compliance risks lawsuits and reputation damage
  • Accessibility overlaps with SEO and improves usability
  • Freelancers and agencies offer low-cost accessibility audits

What Is ADA Accessibility?

The Americans with Disabilities Act (ADA), signed into law in 1990, prohibits discrimination against individuals with disabilities.

For businesses, that means ensuring your physical locations and digital platforms are accessible to people with a range of needs — from mobility to vision, hearing, and cognitive differences.

Compliance typically includes things like wheelchair ramps, accessible restrooms, appropriate signage, and websites that work well with assistive technologies.

If your business is open to the public or has 15 or more employees, you’re legally required to follow ADA standards.

But in practice, almost every business benefits from making its spaces and experiences more inclusive.

Who Needs to Be ADA Compliant?

ADA compliance isn’t just for government buildings or major corporations. Here’s a breakdown of who should take accessibility seriously:

  • Brick-and-mortar stores — retail, restaurants, salons, etc.
  • Professional offices — doctors, lawyers, accountants, therapists
  • Online-only businesses — e-commerce, blogs, SaaS platforms
  • Freelancers and consultants — if you have a website or workspace
  • Service providers — delivery, logistics, cleaning, construction

ADA lawsuits have extended into the digital space — and businesses of all sizes, including sole proprietors, are being held accountable.

Common Accessibility Mistakes Businesses Make

Many accessibility issues go unnoticed until they lead to complaints or legal threats. Here are common oversights that can cost you:

  • No alternative text on images for screen readers
  • Poor color contrast that makes content unreadable
  • Missing captions or transcripts for videos and podcasts
  • Websites that can’t be navigated without a mouse
  • Lack of clear signage or accessible entrances
  • Restrooms that don’t meet spacing or fixture height standards

Small fixes can go a long way — and many of them are eligible for federal tax relief.

ADA Tax Credits and Deductions

The IRS provides two key incentives for businesses making ADA-compliant upgrades.

Disabled Access Credit (Form 8826)

Designed for businesses with gross receipts under $1 million or fewer than 30 full-time employees. You can claim:

  • 50% of qualifying expenses
  • On up to $10,250 in costs annually
  • With a maximum credit of $5,000

This applies to both physical and digital improvements, including installing ramps, updating signage, or upgrading your website for screen reader compatibility.

Barrier Removal Deduction

Separate from the tax credit, this deduction allows businesses to deduct up to $15,000 per year in expenses related to removing architectural or transportation barriers.

You may be able to claim both incentives in the same year, just not on the same expenses.

For example, you might deduct construction work while using the credit for digital accessibility.

More on IRS Form 8826 here

How to Qualify and Apply

To qualify for ADA tax credits or deductions, your business must meet basic eligibility criteria, including:

  • Gross annual revenue under $1 million or fewer than 30 full-time employees
  • Expenses directly tied to improving accessibility
  • Documentation of purchases or services (invoices, receipts, contracts)

Most accessibility expenses should be clearly itemized for tax reporting.

Consult your accountant or tax preparer to determine if costs qualify and whether to file Form 8826 or use the deduction route.

ADA Website Compliance Matters

ADA rules don’t stop at your storefront. Today, many lawsuits involve websites that lack support for users with visual, auditory, or motor impairments. These are typically filed under Title III of the ADA, which covers public accommodations.

What makes a website ADA compliant? It should follow WCAG 2.1 guidelines, which include, but not limited to:

  • Clear alt text for all images
  • Keyboard-only navigation support
  • Readable font sizes and color contrast
  • Proper use of HTML headers and structure
  • Screen reader-friendly design
  • Captioning or transcripts for multimedia

If your site isn’t accessible, you’re potentially at risk of a lawsuit — but more importantly, you’re excluding users who rely on assistive tools to navigate the web.

Need Help? Hire a Expert on Fiverr

Many small businesses don’t have the budget or in-house skills to make websites ADA compliant.

Fortunately, you can hire verified freelancers on platforms like Fiverr Marketplace who specialize in:

  • Website accessibility audits and WCAG compliance reports
  • Fixes for mobile, desktop, and ecommerce sites
  • Adding alt tags, structure markup, and keyboard navigation

Some also offer post-audit verification, which can be helpful in documenting your efforts and showing good faith if legal issues arise.

Most services start under $100, making them cost-effective — especially when paired with the ADA tax credit.

Accessibility Brings More Than Just Tax Breaks

While the financial incentive is valuable, ADA compliance creates a ripple effect across your business:

  • Customer Trust – Demonstrates social responsibility and inclusion
  • Search Visibility – Accessible sites are better indexed by search engines
  • Higher Conversions – Easier navigation improves engagement and sales
  • Brand Loyalty – Inclusive brands gain long-term advocates
  • Operational Readiness – Prepares you for growth and scale

Making your content and services usable by more people isn’t just ethical — it’s a long-term business strategy.

Accessibility also aligns with general best practices for SEO, web usability, and mobile responsiveness.

Tip: Many accessibility improvements overlap with other key areas — including site speed, mobile compatibility, and user retention. Start with a free website scan from WAVE or hire a Fiverr accessibility expert for a full audit.

ADA Planning for Different Types of Businesses

Whether you’re running a storefront, building a service brand, or operating entirely online, accessibility applies.

Business TypeCommon Needs
Retail / RestaurantsRamps, signage, accessible seating, restrooms, menus in multiple formats
Medical / OfficesWider doorways, accessible exam rooms, visual/audio cues, adjustable desks
Online BusinessesWCAG-compliant websites, screen reader support, alt text, captions
Freelancers / ConsultantsAccessible web presence, downloadable accessible contracts/forms, email formatting

Businesses benefit from Accessibility

ADA compliance is more than a legal checkbox — it’s a smart business move.

From tax incentives and SEO benefits to improved customer trust, the advantages of accessibility reach far beyond the surface.

Start small, document your improvements, and make use of the resources available to you — including tax credits and freelance experts who can help you get it done quickly and affordably.

The discounts and credits mentioned here may change or expire. If a specific credit is unavailable, your investment in accessibility still pays off by improving reach, usability, and legal protection for years to come.

Frequently Asked Questions

What is ADA compliance in business?
ADA compliance means ensuring that your business meets accessibility standards for people with disabilities, as required by the Americans with Disabilities Act. This includes physical and digital accessibility measures.
What is IRS Form 8826 and how do I claim the credit?
IRS Form 8826 is used to claim the Disabled Access Credit, which allows eligible small businesses to receive up to $5,000 for improving accessibility. You can download the form and instructions at IRS.gov.
Can I claim both the ADA credit and deduction?
Yes. You can claim both the Disabled Access Credit and the Barrier Removal Deduction in the same year, as long as they apply to different expenses.
Is ADA website compliance legally enforced?
Yes. Courts have ruled that websites can fall under ADA Title III if they are public-facing. Businesses can face lawsuits for failing to provide digital accessibility.
What is WCAG and why does it matter?
The Web Content Accessibility Guidelines (WCAG) are a set of standards for making digital content accessible. Following WCAG 2.1 helps ensure your website is usable by people with disabilities and legally defensible.
Can freelancers or home businesses claim ADA credits?
If you meet the revenue and staffing thresholds and make qualifying improvements, you may be eligible for tax credits — even if you operate from home or online.
How can I get my website checked for ADA compliance?
You can start with a free tool like WAVE or hire a professional from the Fiverr Marketplace to perform a full audit and provide accessible upgrades.
What happens if I ignore ADA requirements?
You could face lawsuits, fines, forced upgrades, and damage to your brand reputation. Preventative action is typically far cheaper than the cost of litigation.

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