In my previous post I listed the requirements you need to meet in order to qualify for the home business deduction on your 2011 tax form. Remember: You must be able to show that you use your home as your principal place of business. This can be accomplished by sanctioning off a portion of your house, condo, mobile home or apartment for business purposes only. You can’t use your workspace to host poker games or scrapbook crops on the weekends; rather, the space must be used exclusively and regularly for business. However, there are two exceptions to this rule. According … Continue reading →

When it comes to filing taxes, documentation is key. Without solid proof to back up your figures, you risk getting into hot water with the IRS, especially if you are audited. In a previous blog, I gave you important information regarding the home office deduction. I detailed the requirements needed to qualify and listed caveats that could make or break your eligibility. It is critical that you realize that the home office deduction is available only to people who are operating legitimate businesses from their residence. Uncle Sam doesn’t tolerate people who file for the home office deduction when they … Continue reading →