Subscribe:Apple Podcasts|Spotify|iHeartRadio Key Takeaways You may qualify for thehome office deductionif you use
The home office tax deduction is one of the most utilized write-offs by self-employed and small-business owners during tax season. It allows eligible taxpayers to deduct a part of your rent or mortgage payments due to business use. However, like all business expenses, the IRS puts limitations...
You must be self-employed.Before the Tax Cuts and Jobs Act of 2017 (TCJA), the home office deduction was available to self-employed workers and people who had a home office for the convenience of their employer. But the TCJA eliminated most miscellaneous itemized deductions, including unreimbur...
The home office deduction is a tax deduction qualifying small business owners can claim if they use part of their home for business. Small business owners include: Self-employed taxpayers Independent contractors Those working in the gig economy Under the Tax Cuts and Jobs Act of 2017, employees ...
A home office deduction is a tax break for the self-employed — if you’re a freelancer, a contractor, or a small business owner who works from home, you may be eligible. There are two ways to claim it on your tax return: You can deduct a flat rate per square foot or itemize home...
The Home Office Deduction The first tax break to consider if you work from home is the home office deduction. This used to be a really complicated deduction to take. You had to figure out all the costs of your home (mortgage, property taxes, depreciation, utilities, etc.) and then multip...
Office furniture such as desks, files and safes Everything except for office furniture is considered a 5-year property. Office furniture is a 7-year property. Depreciation is calculated differently for the two categories. Thishome office tax deduction calculatorwill help you calculate how much you...
Does my home office qualify for the tax deduction? To qualify for tax deductions, your home office must be regularly and exclusively used for business purposes. It must also be the principal place of business. (Source: IRS) Your home office needs to meet some specifications before it’s elig...
Linda Stern
The self-employed are eligible for the home office tax deduction if they meet certain criteria. The workspace for a home office must be used exclusively and regularly for business. Total deductible expenses can’t exceed the income from the business for which the deductions have been taken. ...