The IRS is reminding individuals to consider taking the home office deduction if they qualify.
The home office deduction is available to qualifying self-employed taxpayers, independent contractors and those working in the gig economy. However, employees who receive a paycheck or a Form W-2 exclusively from an employer are not eligible for the deduction, even if they are currently working from home.
There are two basic requirements to qualify for the deduction. The taxpayer needs to use a portion of the home exclusively for conducting business on a regular basis and the home must be the taxpayer’s principal place of business.
Additional information on the home office deduction can be found in IRS Publication 587, Business Use of Home (Including Use by Daycare Providers) or Form 8829, Expenses for Business Use of Your Home.