Can You Take the Home Office Deduction? Probably Not
January 17th, 2008 (5:46am) Anne Zelenka 24 Comments
If you work from home, you may be wondering if you can deduct costs related to your home office — a part of your mortgage payment or rent, for example. But unfortunately the U.S. tax law in this area doesn’t recognize the work-life blend that most home workers practice. If you mix business and personal activities in your home office, you can’t take the deduction.
The Wall Street Journal reports that most people eligible for this potentially lucrative deduction probably don’t take it:
“It is questionable whether most taxpayers who are eligible to take the deduction actually do so,” IRS National Taxpayer Advocate Nina Olson said in a report to Congress last week. She urged lawmakers to offer taxpayers a simpler, optional method of calculating the home-office deduction. [subscription required]
Joshua Porter runs a design and consulting company that focuses on designing social web applications. He 