The Home Office Deduction
is often overlooked by small business owners.
Chapters walk the reader through how to deduct operating expenses, the basics of depreciation, the home office deduction
, hiring help, casualty and theft losses, necessary record-keeping systems, and much more.
If you're freelance or self-employed and work from home, the home office deduction
could save you some money on your taxes.
This article covers recent developments in the area of individual taxation, including cancellation-of-debt (COD) income; a hobby loss case where the taxpayer prevailed with the IRS, but not with the state taxing authority; theft and casualty losses; and a number of home office deduction
The home office deduction
under the actual or simplified method can't be used to create a net loss for the business.
You may be able to claim a home office deduction
, as long as you use part of your home exclusively for conducting business.
Benefits include the potential ability to expense the cost of equipment purchases, business travel, certain educational expenses and claiming a home office deduction
for a home-based business franchise.
Congress has relaxed the rules, so a home office deduction
is no longer a red flag, he says.
In other changes for the 2013 tax year, the Alternative Minimum Tax has been patched -- permanently -- to prevent more middle-income people from being drawn in, and there's a simpler way to compute the home office deduction
An analysis of the home office deduction
are home-based, and many of them claim a home office deduction
on their tax returns.
Be sure to make your claim reasonable, or it will get questioned; a $25,000 home office deduction
for a business with $50,000 annual gross revenue is not reasonable.