The snow is melting, motorcycles are hitting the road (please watch out for them) and the April 15th deadline to file your 2014 Federal and State tax returns is right around the corner.
Do you work from home? You may be permitted to deduct certain home office expenses.
If you qualify you can claim the deduction whether you rent or own your home. If you qualify for the deduction you may use either the simplified method or the regular method to claim your deduction.
As a general rule, you must use a part of your home regularly and exclusively for business purposes. The part of your home used for business must also be:
- Your principal place of business, or
- A place where you meet clients or customers in the normal course of business, or
- A separate structure not attached to your home. Examples could include a garage or a studio.
As always it is best to get the advice of a tax professional to determine if you qualify for any deductions, including the home office expense deduction, and if it’s in your best interest to apply for it.