Comments on: Is A Home Office Deduction Worth It For Me?

By: Terry

Terry — Sun, 08 Feb 2009 10:05:53 +0000

It would be 10% of the mortgage interest. Not the entire mortgage. But, if you didn’t write it off for your business, it would still go on your Schedule A. But reducing your Schedule C expenses is a good idea as self-employment tax can be expensive. That is, if you make a nice profit on your business, self-employment tax can be quite ugly.

By: Terry

Terry — Sun, 08 Feb 2009 10:02:11 +0000

It used to be a red flag, but no longer. So many people have a home office these days, it is the norm. As long as you are honest on your forms, what’s the worry?

By: jim

jim — Mon, 20 Nov 2006 20:59:41 +0000

Can I claim a home office and NOT take the depreciation? I really just don’t want to have to keep track for the depreciation and recapture it later, my mortgage is around $1600 and so the deduction would be around $1920 a year.

By: Jonathan

Jonathan — Mon, 20 Nov 2006 19:53:47 +0000

What about 10% of your mortgage?

By: moneysmartlife

moneysmartlife — Sat, 18 Nov 2006 06:02:55 +0000

Sounds like you’ve been thinking a lot about taxes lately. I really liked “Tax Strategies for Business Professionals” by Sandy Botkin. It’s not cheap but has good tax information condensed down into bite sized chunks. Since it’s an audio series you can listen to it over and over until the details sink in.

As I said, its not cheap, maybe there are other similar resources out there that are just as good for a lower price. I’d be curious to hear of some.

By: David

David — Fri, 17 Nov 2006 22:14:33 +0000

I’m no expert on this, but my tax professor recently told us that, aside from the actual aspects of complying with the specifics of the code, claiming a home office deduction is a red flag that makes it much more likely you will be audited.