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Updated over 7 years ago on .

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1
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Jesse Krup
  • New york, NY
0
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Home office deduction

Jesse Krup
  • New york, NY
Posted

General question, that I think I know the answer to, but want to confirm. 

Situation: I have an LLC which I plan to use as a rental business. I plan to qualify as a business and meet the criteria for the home office deduction. I live in NYC and my rent is around 3,500 a month. I plan to devote around 10% of the space as an office.

Question: all home expenses are paid by me personally. I want to be very careful in keeping LLC and personal expenses separate. However, in this instance I assume it's fine to pay for home expenses personally and take the deduction on the LLC. I want to ensure this wouldn't muddy the waters down the road should a lawsuit occur. It will be a similar situation with my car.

I appreciate the insight. Please let's not use this as an opportunity to discuss LLC vs no LLC.