Tax Deductible Home Office

[David Nacco]

Could someone who is tax savvy help me out here? I am considering building a home office, and by building a home office I mean actually building a completely separate structure from the living area behind my house. Would I be able to write off the construction and furnishing costs of building this office on taxes as a business expense? What about the costs of pulling any necessary permits? I know I could just get a good sized shed and convert that into an office space but I figured if I can write off something nice that looks and feels more like an actual office then why not do that

[Carl Fischer]

@David Nacco

Yes if you use the space specifically for work and not an extension of your living space. Work with your cpa to get the biggest bang for your buck. You will have capital expenses that will be depreciated over time, ordinary costs such as utilities expensed annually, and possibly some accelerated depreciation on some equipment.