![]() ![]() ![]() You may also be able to deduct professional organization dues and fees - as long as the organization isn't political. If you're self-employed, or work for an employer and fall into one of these IRS categories, you may be able to can claim the enrollment cost of any required continuing education courses, classes or certifications. You must fall under one of a few specific categories in order to claim this deduction, though, due to the TCJA tax changes. For example, if you're a qualifying performing artist, you may be able to deduct the cost of costumes or other theatrical clothing that you can't wear everyday. If you have to buy clothes that you only wear for work, some individuals may be able to write off the cost. The self-employed and business owners, however, are still eligible for this deduction. In the past, mileage accrued while driving your own car for business travel was an expense you could claim on your taxes - but the Tax Cuts and Jobs Act of 2017 eliminated that for employees. If a passport is required for your travel, you can claim that as well. Flights, hotel rooms, rental cars, meals and tips for service are all considered travel expenses, if they're business-related. If you have to commute between multiple locations or travel for work, however, some of those costs may be deductible. If you're self-employed or own your own business, regular commutes from your home to work are considered non-deductible personal expenses. This would be an alternative to calculating the various individual home expenses. Greene-Lewis says that if you take the simplified option, you can deduct $5 per square foot, up to 300 square feet, or $1,500 total. For instance, if your home is 1,800 square feet total, and your home office measures 300 square feet, your home office deductions could be applied at a rate of 16%. To find the percentage, compare the size of space you use for business to that of your entire home, and then apply the percentage to the specific expenses. Depreciation: If you own your home, you can deduct the cost of wear and tear on the portion used exclusively for business.Īll of these calculations are based on the percentage of your home that you use for business.Utilities: Expenses for utilities, like electricity and gas, can be deducted - but only the percentage used in your home office.Insurance: You can deduct a percentage of your home insurance that covers the business space in your home.Some things that qualify for home office deductions: If you have a dedicated workspace at home, you can use the IRS regular method or simplified option, though you can't use a combination of them in a single tax year. You can't deduct the space at your kitchen table if your family also eats dinner there." "You not only have to be self-employed - but have a dedicated space in your home that is exclusively related to your business. "Can you deduct a home office if you work at your kitchen table? Unfortunately, no," says Lisa Greene-Lewis, CPA, and tax expert with TurboTax said. The other main requirement is that the space be reserved for and dedicated entirely to your work. If you work 100% remotely as a W-2 employee, you do not qualify for this deduction. The home office deduction may be the largest deduction available if you're self-employed. Here are some of the most common deductions for folks working from home. Before you start adding up all the line-items, make sure you know what's covered and what isn't.
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