Home Offices

[KeepsakeGirl]

Do you have one?

If so, do you know if you can deduct the furniture you may purchase for tax purposes?
I'm going to convert our DR into an office because I've outgrown sharing a space with hubby and his collections, but was wondering about this for tax purposes.

I also need office decor inspiration so post up pics....and i know you have cameras so cmon, chop chop

[PeteQ]

There are some specific rules about what consitiutes a "home office" and that determines what percentage of items, etc can be deducted. I believe you used to have to have a seperate entrance to the room from the outside, etc. etc. Things may have changed...

For these questions you really should get a good CPA to work with you. They will pay for themselves in the long run.

[KeepsakeGirl]

pete, you're probably right....

I"d still like to see pics tho if anyone has any.

[AlexMorse]

I believe it has to be related to your primary source of income, it does not require an outside entrance any longer.

You can deduct furniture, equipment, supplies, and a portion of the mortgage/utility bill as well, provided it is used as the primary place to do your work for your primary income.

[Bill]

Business Use of Your Home, Publication 587. Copy it, go to your local refreshments dispensary, and kill some time: http://www.irs.gov/publications/p587/ar02.html

Want more? Small Business and Self-Employed One-Stop Resource: http://www.irs.gov/businesses/small/index.html

Have a nice day, and night, and another day, and another night, and ...,
Bill

[boxofrocks]

You need a CPA, but here's what I do (based being a C-Corp and on advice from my CPA)

Deduct all office furniture and related items (just bought a fan for the office--deductible).

My Corp. has a lease with me (the individual) as the landlord, and I pay myself rent. That's good, because while I (the individual) still have to claim it as income, it is a business expense, and thus tax deductible for the corporation.

But you really, really need to seek the advice of a CPA.