If you use your home for work or business, you may be entitled to the home office deduction. The home office deduction is one of those wonderful tax deductions that allows a taxpayer to turn an otherwise non-deductible personal expense into deductible business expense.
- Exclusively and regularly as your principal place of business,
- Exclusively and regularly as a place where you meet or deal with patients, clients, or customers in the normal course of your trade or business,
- In the case of a separate structure which is not attached to your home, in connection with your trade or business,
- On a regular basis for certain storage use (Inventory storage or product samples)
- For rental use (See IRS Publication 527)
- As a daycare facility
- Your business use must be for the convenience of the employer, and
- You must not rent any part of your home to your employer and use the rented portion to perform service as an employee for the employer.