House musings.

[razorjak]

I've been puttering around the house and garage a bit now. Finally getting things labeled, photographed and boxed up.

I've been starting to tinker with old crafts I used to play around with. Thinking about starting to build up stock again and hit the faires.

My house is set up as a two family. I wonder how much of a pain it would be to set up one of the floor's as my office/workshoppe for tax purposes. Anyone think it'd be too hard seeing as there's an entire sperate entrance for each floor?

Comments

[imperfectme.livejournal.com]

If it's a separate, defined space that is SOLELY used for business purposes, then it wouldn't be hard at all and should stand up to any IRS scrutiny. The trick would be figuring out if it should be deducted right on schedule C as rent and utility expense, or if you should take a home office deduction for it. If it's part of your home (like a bedroom you use for an office), then it would have to be the home office deduction. But since it sounds like it's an entirely separate flat, the argument could be made for schedule C deduction. Part of it depends on who owns the property and gets paid for it. If you pay rent to someone, you should be able to separate out a portion of it for the office space. Now if you were the owner of the building, it would be a little different. And for the utilities, it would depend on if each flat had their own utility meters. There's a bunch of factors to consider, but it's totally do-able. Catch me on AIM if you have any questions you want to run by me on this. :)