The Home Office Deduction: Is This Really An IRS Red Flag?

During this time of tax season, we often find last minute filers asking questions about what deductions they can or cannot take based upon whether they think they’ll owe money or get a tax refund.   People will ask about charitable deductions, mileage expenses, and other miscellaneous items that they can write off.    With so many people having  jobs involving telecommuting, jobs that are part time businesses, or simply people who have become freelancers, the big question that is often asked is, “Is claiming a home office deduction really an IRS red flag?” This was a tax tip offered on the IRS website on March 16th, 2011 (source: www.irs.gov) Whether you are self-employed or an employee, if you use a portion of your home for business, you may be able to take a home office deduction. Here are six things the IRS wants you to know about the Home Office deduction. 1. Generally, in order to claim a business deduction for ...

Read More →