Home Office Deduction - Mileage

[Nathan S.]

Hi BP world, I am currently not taking a home office deduction since the entire space I use in my primary residence for my rental business is also used for personal activities (computer, file cabinet, office desk).  Am I still able to consider my primary residence as a home office for purposes of mileage deduction to and from my rental properties and any errands involved in the business?

It is the primary place I conduct rental business and Nolo's Every Landlords Tax Deduction Guide seems to elude that I can get the mileage deduction.

[Aaron Smith]

@Nathan S. DON'T wait to hire a CPA! They're one of the first you should bring onto your team in REI. They would have had you using the home office deduction already! Not to mention, depreciation is one of those areas you could be missing something. Which means you could be missing out on MORE deductions!

With your home office, you can deduct:

- Office supplies

- Utilities

-Cell phone

-Home phone

-Internet

-Cost of your computer (office equipment)

Like I said, unless you're deducting a massive amount of square footage as your home office, you're unlikely to be audited anymore. As more and more people work from home, the IRS has recognized the definition of "home office" has change significantly. Hence the standard home office deduction. 

Hire a CPA, have them review your last two years returns. They may be able to help you realize some savings you've missed out on! I'm paying $300 for my CPA (the cost is a deduction BTW..) which is well worth it!

A