What kind of tax deductions or "credits" do you take? @$

iVillage Member
Registered: 04-20-2012
What kind of tax deductions or "credits" do you take? @$
3
Mon, 01-07-2013 - 12:23pm

I've been working from home for a couple years now but somehow I can never seem to take advantage of any "home office" deductions or credits. I think it's because I don't really have a big,separate office space- just a small section of the living room, lol. In the past, whenever I've tried to add up the expenses and do an itemized deduction, it never comes out better than me just taking the standarized deduction.

Am I missing something? Everyone I talk to thinks there should be some great tax benefits from working at home but I'm just not seeing it.

Avatar for cmlisab
iVillage Member
Registered: 09-30-2011

Oh, I'm so glad to see I'm not the only one who doesn't claim deductions for a home office. We never could get it to be more worthwhile than the standard deduction either. Plus I was scared of being audited, LOL.

Lisa 

Community Leader
Registered: 04-22-2003

Great question.  I don't think you are missing a big windfall, but if anyone does this please contribute! 

My husband is a CPA and he thinks people might get too aggressive in that category and find themselves getting audited (at least that's why he never let me claim the home office).  Here are the IRS rules in this link.  If you qualify, it might be worth doing but it was that "percentage of the home" thing that always made DH say no, also the "exclusive use" thing.  (I too used a portion of the living room when I started out, but we didn't claim it even when I used one of the bedrooms exclusively as a home office for work.)  I hope this helps!  

http://www.irs.gov/uac/Work-From-Home%3F-Consider-the-Home-Office-Deduction

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iVillage Member
Registered: 04-20-2012

Sorry about the weird characters in the title- i have no idea why it did that!