A home-office deduction can be extremely valuable, but many taxpayers worry that the deduction will initiate an IRS audit.
That’s compassion. You see, you should take full advantage of it and put your worries aside, and you’re entitled to the deduction if you handle things correctly.
New rules on the home-office deduction let you create a “principal office” right in your home.
This gives essential benefits as you’ll discover when you read my new article.
Our fact-filled article can help you in three ways:
1. Why use your home office as a principal office makes a lot of sense which you are going to learn here.
For freshers, you’ll be able to deduct a portion of your home expenses as business expenses. Plus, trips from your home office to your downtown office count as deductible business trips. You’ll get all the details.
2. What is the landmark Soliman case? You’ll learn here.
Since ago, the law under Soliman made it tough to establish an IRS-approved home office. But in 1997, lawmakers added words to the rule that dramatically changed things for the better. All will be explained.
3. Why there is a need to use another approach through which Uncle Sam become happy. We’ll tell you to know here.
Lawmakers made Soliman just one of two tests you can use to qualify for the home office deduction. Test #2 allows you to train your home office as a principal place of business when you use it “for the administrative or management activities of your business and don’t use any other fixed location to conduct substantial administrative or management activities of that business.” We’ll explain everything in easy-to-understand language.