Use your Home Office as a Tax Deduction in 2009
There are certain requirements but if you work from home and have an office in the home, you can deduct the space along with your other business expenses on your 2008 tax filing. There are types of use needed to be able to take this very helpful business deduction. First, you use the space exclusively and regularly for your business. Or two, you use the space as storage for business inventory on a regular basis.
Deduction Computation and Reporting
The deduction is a percentage of your overall home expenses based on the square footage of the office divided by the total square footage of your home. If you operate your business with a loss than your expenses will be limited. To report the tax deduction complete form 8829 and transfer the deduction to your Schedule C line 30.