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Income Tax Planning
Chapter 6: Introduction to Deductions/HOME OFFICE DEDUCTION
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Chapter Study Session

Chapter 6: Introduction to Deductions

HOME OFFICE DEDUCTION

01.Core Concepts

• General Rules • Expenses are prorated • Depreciation on 39-year straight line basis • Business Owner • Regular and exclusive use requirement • Cannot deduct expenses to show loss • Employee • Must be for convenience of employer to deduct expenses before 2018. • From 2018-2025, no deduction is permitted on Schedule A for home office expenses. OBBBA made permanent for tax years after December 31, 2025.