topic Home business expense deduction - wife owns house in Business & farm

Home business expense deduction - wife owns house

bjs14 — Tue, 06 Apr 2021 01:24:43 GMT

Married Filing Jointly. My wife bought our house in her name and is the only name on the deed and mortgage, though we both contribute to the costs equally (mortgage, taxes, repairs, etc). I use the basement to run my business, the entire basement is used exclusively for my business and it is the primary and only location.

Can I deduct any of the home expenses (based on sqft % etc) - ie. mortgage, repairs, utilities on my business?

Re: Home business expense deduction - wife owns house

AnnetteB6 — Tue, 06 Apr 2021 13:24:17 GMT

Yes, since you are filing a joint return and you both contribute to the costs of the home, you can claim the home expenses related to your qualified home office.

Re: Home business expense deduction - wife owns house

bjs14 — Tue, 06 Apr 2021 14:15:52 GMT

Thanks! Do I base it on the entire amount of my contribution. For example if mortgage interest is $10,000 do use the sqft percentage times the $10k or times $5,000 - my half of the contribution?

Re: Home business expense deduction - wife owns house

MinhT1 — Tue, 06 Apr 2021 14:29:35 GMT

You should use the full mortgage interest ($10,000) multiplied by the sqft percentage.

Re: Home business expense deduction - wife owns house

SweetieJean — Tue, 06 Apr 2021 14:50:58 GMT

Are you self-employed, or a W-2 employee?

Re: Home business expense deduction - wife owns house

bjs14 — Fri, 09 Apr 2021 01:27:20 GMT

self employed, llc