You must know the rules to claim the maximum income tax deduction when working from home. Your individual tax clients are ALL required to work from home some, or all, of the time since January 1, 2020. Some will benefit from a detailed accounting of every possible related cost. Others will simply accept the “Safe Harbor” amount of $5 per square foot, up to a maximum 300 square feet devoted to exclusive use.
Enrolled Agent Approved
Every CPA, EA, or Attorney that will prepare individual income tax returns for 2020.
- Understand definitions of term, “exclusive use”
- Know how to document partial use
- Know the expenses that can be claimed
- Know how to complete Schedule C and Form 8829
- Know how to establish and properly document an employer reimbursement program for required use of the employee’s home
- Determine effect of employee working from home on state nexus
- Code Section 280A
- Rev. Proc. 2013-13
- Home office deduction
- Simplified method for home office deduction
- 21 FAQs on the deduction
- Definition of “Qualified Business Use”
- How to document “exclusive use” for less than 100% of available time