If you are maintaining a home office and that office is used only for business purposes, you may be entitled to additional tax deductions associated with your home office. The first step is knowing what percentage of your home is dedicated to your home office. For example, if your home is 2,000 square feet and your home office is 200 feet, ten percent of your home is for your office and ten percent of the following expenses may be deductible:
- Utilities – gas, electric, water, trash
- Home owner’s or renter’s insurance
- Mortgage interest
- Real estate taxes
Please review chapter 19 or talk with your CPA to get more information.