Welcome Guest. Register Now!  


For 2011 Tax Tips For Year 2011


Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 03-13-2012, 10:37 PM
Samatg's Avatar
Administrator
 
Join Date: Jan 2007
Posts: 291
Post Work at Home? You May Qualify for the Home Office Deduction

If you use part of your home for business, you may be able to deduct expenses for the business use of your home. The IRS has the following six requirements to help you determine if you qualify for the home office deduction.

1. Generally, in order to claim a business deduction for your home, you must use part of your home exclusively and regularly:

• as your principal place of business, or

• as a place to meet or deal with patients, clients or customers in the normal course of your business, or

• in any connection with your trade or business where the business portion of your home is a separate structure not attached to your home.

2. For certain storage use, rental use or daycare-facility use, you are required to use the property regularly but not exclusively.

3. Generally, the amount you can deduct depends on the percentage of your home used for business. Your deduction for certain expenses will be limited if your gross income from your business is less than your total business expenses.

4. There are special rules for qualified daycare providers and for persons storing business inventory or product samples.

5. If you are self-employed, use Form 8829, Expenses for Business Use of Your Home to figure your home office deduction and report those deductions on Form 1040 Schedule C, Profit or Loss From Business.

6. If you are an employee, additional rules apply for claiming the home office deduction. For example, the regular and exclusive business use must be for the convenience of your employer.

For more information see IRS Publication 587, Business Use of Your Home, available at Internal Revenue Service or by calling 800-TAX-FORM (800-829-3676).


Links:

Publication 587, Business Use of Your Home
Instructions: Form 8829, Expenses for Business Use of Your Home



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply



Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Can I take a home office deduction under the following circumstances? DFKurz Sole-Proprietorship 0 02-06-2010 12:55 PM
Five Facts about the Home Office Deduction Samatg For 2009 0 08-12-2009 03:08 PM
Which Taxpayers are qualified to take a Home Office Deduction? TaxGuru Miscellaneous 0 07-14-2008 01:11 PM
What are the rules regarding Home Office Deduction? TaxGuru Miscellaneous 0 03-14-2008 08:25 PM
Home Office Deduction Samatg General 0 03-15-2007 08:01 PM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning
 
 
 

» Recent Tax Q&A
No Threads to Display.