Can a private business deduct from their taxes donated rental space? If they lease their space out during non-business hours, what is the standard deduction?

#1; It depends. The IRS calls office space donations in-kind donations. The IRS encourages in-kind donations by allowing individuals and businesses to take a tax deduction for the fair market value of the service. For office space, this is sale price of the space if it were placed on the market or the fair market value of a lease. The recipient must be a tax-exempt charitable organization or 501(c)(3). IRS rules do not allow donations for a portion of the owner's interest in a property. For example, if you own a multi-story building and allow a nonprofit to occupy one of the floors for free, you cannot take a deduction. The reasoning is that because you still own the building, you have lost no benefit of ownership. Partial interest rule problems here. Generally, unless you give an undivided ownership interest in something, you aren’t entitled to a deduction. Some exceptions to this rule but not here.


#2; The standard deduction, as defined under United States tax law, is a dollar amount that non-itemizers may subtract from their income and is based upon filing status. It is available to US citizens and resident aliens (for tax purposes) who are individuals, married persons, and heads of household and increases every year. It is not available to nonresident aliens residing in the US. Additional amounts are available for persons who are blind and/or are at least 65 years of age. The standard deduction is distinct from personal exemptions, which also are available to all taxpayers and dependents. As one may not take both itemized deductions and a standard deduction, taxpayers generally choose the deduction that results in the lesser amount of tax owed. Basic standard deduction; Single( $6,100 )Married Filing Jointly ($12,200).