If you’re a home-based business owner, your best friends this tax season may be IRS Publications 535 and 587.The first publication lists all of the rules for deducting business expenses. The second focuses exclusively on laws regarding the business use of your home.
Tax breaks are available for home-based businesses, but filers need to be cautious about what they deduct and keep good records, analysts say.
For example, you can take a deduction for keeping an office in your home. But the office must be used exclusively and regularly for business. Cramming a desk into the corner of a bedroom doesn’t cut it.
danakeith on June 3rd, 2008 at 3:34 am
business is business as it is, as long as you establish it.. therefore, tax were to be collected.