STL Tax LLC

Home Office Deduction (Save on Taxes!)

If you run a business or work from home, the home office deduction can help lower your tax bill.

✔️ Exclusive Use: Your workspace must be used only for business. A kitchen table or shared area usually doesn’t qualify.

✔️ Regular Use: You need to use the space consistently for work.

✔️ Principal Place of Business: Your home office should be your main location for conducting business.

Two Ways to Calculate Your Deduction:

- Simplified Method: Deduct $5 per square foot (up to 300 sq ft).

- Actual Expense Method: Deduct a percentage of rent/mortgage, utilities, insurance, and maintenance based on your office size.

💡 Why It Matters:
Claiming the home office deduction can reduce your taxable income and keep more money in your business.

⚠️ Pro Tip:
Keep detailed records and measurements of your space to stay compliant and maximize your deduction.