Prev Blog
<<

TaxTip about Saving Money Using Your Home Office Deduction

 Next Blog
>>
TReXGlobal Category: Business Strategies
Current Grade: A-
Total Views: 753
Member Comments: 6
 Posted on: 05/07/2008
Posted by: TReXGlobal
Blog Points: 367
View all blogs >>
I know a lot of you use a home office for your business, so I hope this tip is useful for you...
If you used a portion of your home exclusively and on a regular basis as your principal place of business, then the expenses for your home office are considered deductible.

Even if you store things in your garage for your business, that may be considered a deductible storage space.

You can deduct a portion of your utilities, real estate taxes, mortgage interest, rent, insurance, repairs, depreciation, and any other expense related to your home.

The percentage of deductible expense is determined by the total square footage of your home office in relation to the size of the entire building.

Certain requirements must be met (like exclusive and regular use), so be sure to consult with a tax advisor.

To learn more about this and other expenses that you can deduct, take a look at these tips.

RealTaxTips.com

 Niman Singh
Current Grade: A-
Category: Business Strategies
 Leave A Comment
AddThis Social Bookmark Button Social Bookmark
Vieving 1 - 6 out of 6 comments
<p>J.Reyne & Associates&copy</p>

Posted By:

J.Reyne & Associates©

 on 05/08/2008

I would have never known....

 

Thank for the info! Great job...

 
JohnCorey
Ambassador
Posted By: JohnCorey on 05/08/2008
Niman,

I love your tax tips. They are informative and the presentation style is fun. Keep up the good work.

John Corey
www.CheleseaPrivateEquity.com/blog
 
TReXGlobal

Posted By: TReXGlobal on 05/07/2008
Brian, thanks for stopping by, I appreciate the comment.
 
TReXGlobal

Posted By: TReXGlobal on 05/07/2008
Word on the street is right.
Depreciation is recaptured and taxed at 25%.
 
Brian Lucier
Ambassador
Posted By: Brian Lucier on 05/07/2008
There are legal ways around this, say if you actually bill yourself rent and have a receipt for occupation. I personally do the home office deduction and stay beneath the red flags as advised by my accountant for over a decade.

That being said, I am not an accountant. You should really consult a tax professional that understands real estate, AND home office deductions.

A great company I've used in the past is Anderson Business Advisors, PLLC. http://www.andersonadvisors.com/

They have a great perspective on setting up your business for the maximum, legal deductions. Check out their site for more info, or ask your own tax professional.

Nice pictures.

- Brian Lucier
 
Brad

Posted By: Brad on 05/07/2008

What about when you sell your house.  Do you have to pay back those tax deductibles?  That's the word on the street.

B