I know a few CPAs/accountants are on the board. 2013 is my first year working from home. What type of expenses do I need to track to make my life easier come tax time next year. Also what are the write-off rules for your bathroom? I'm an employee but my company does not reimburse for printer / desk / chair / paper /etc.. So I'm going to write it off but some of it was "purchased" from family..... How do I declare that type of write off? Thanks for all the tips!
That isn't necessarily true. He could deduct them assuming he itemizes and to the extent his misc. itemized deductions exceed 2% of his AGI. Also assuming you actually meet all the qualifications for a home office. Don't try to write off anything for your bathroom. Maybe throw some TP cost into office expense. I've been in accounting for nearly 10 years and you are the first person I've had ask about the bathroom. You can still deduct the cost even though they were bought from family as long as it was not for more than the fair value of the item. Obviously you track everything that is specifically for business. You track all expenses associated with that specific area of the house (i.e. repairs). You also track utilities/repairs/etc for the whole house. The space used for business has to be exclusively used for business in order to qualify for a home office deduction.
So then I can itemize a percentage of my rent? I have a one bedroom + study apartment (956 Sq feet )My study is 150 Sq feet so about 15 % of my apartment. So I can itemize 15% of rent and 15% of energy bill? I work exclusively from home (1 trip every few months). Plus if I split rent with my GF do I get to itemize 15% of the rent paid to the complex or 15% of my share of the rent? Thanks for your help! You were the poster I had in mind when making this thread
Too me it just makes sense that an office must have a bathroom. I understand that I also utilize it for personal usage but that's besides the point. An office must have a restroom.
My company does not have an office in Houston and does not furnish misc consumables & equipment (like a printer)
As I understand things, a home office has to be used exclusively as a home office. The minute you sit in there and watch a TV show on your own time, it is no longer a home office.
Like a said. The study is exclusively an office. No TV in there. Purchased. Room divider to keep me honest But seriously I only use the study as my home office so I'm trying to understand what incentives are available to me.
15% of rent and utilities (your half). Since you rent, it will be pretty easy to keep up with that. I know it would make sense, but you don't use the bathroom exclusively. If you threw in the occassional soap and TP purchase as office supplies, the IRS probably isn't going to sweat it. This is technically true. I'm not saying you should really worry about very occassional personal use, but the rule is 100% business.
