About a quarter of all people who have jobs do some—or all—of their work from home. But there are more than just the obvious benefits of working in your PJs and being close to the coffee pot all the time… you could be eligible for a home office tax deduction.
Remember, though, this isn’t tax advice. If you’re considering taking a home office deduction on your taxes, it’s best if you consult with a licensed tax professional first.
What is the Home Office Deduction?
The home office deduction is a break the Internal Revenue Service gives you from working out of your home. The catch: you have to meet two requirements before you can claim it.
Catch One: Part of your home has to be designated as your principal place of business; that’s where you do all or most of your business.
Catch Two: You must use that area of your home exclusively for work (so an office-slash-guest-room doesn’t count). Even if you spend 40 hours—or more—each week in your home office, if it doubles as something else, you’re not allowed to claim it. You also can’t use it for personal time, such as checking emails or paying bills.
That doesn’t mean it has to be an entirely separate room, though. If you exclusively use part of your bedroom or an open floor planned home, you may be able to take the deduction. This can be true even if you don’t work for yourself, but you work for another employer. However, if you prefer to work from home but you can go to a physical location belonging to the company you work for, you probably won’t be able to claim the deduction.
Are You Buying a Home in North Florida?
When you’re ready to start exploring Florida land for sale or homes for sale in Lake City, we’re here to help.
Call us at 386-243-0124 or if it’s easier, contact us online. We’ll begin searching for your new home right away.
You can also explore these links to start your search:
- Water Front Residential
- Water Front Land
- Bank Owned & Foreclosures
- Short Sales
- Paved Road Frontage
- Non Deed Restricted Land
- Wooded Oak Tree Land
- Land for Land Home Combo
