topic LLC owner Single member - Event rental storage question in Investors & landlords

LLC owner Single member - Event rental storage question

nikdav230 — Fri, 31 Jan 2025 17:34:16 GMT

My husband is LLC owner and we have used one of our rooms in the primary residence for event equipment storage. Is that allowed tax wise, should we get a rental shed outside somewhere? Pls shed some light on this

Thanks

Re: LLC owner Single member - Event rental storage question

WS13 — Fri, 31 Jan 2025 19:01:39 GMT

Under certain circumstances you can deduct expenses for the business use of your home.

You sell products at wholesale or retail as your trade or business.
You keep the inventory or product samples in your home for use in your trade or business.
Your home is the only fixed location of your trade or business.
You use the storage space on a regular basis.
The space you use is a separately identifiable space suitable for storage.

That's from IRS Pub 587 and you have to meet all those tests.

Your question is somewhat vague. If you're currently renting to yourself that's a zero sum game.

Re: LLC owner Single member - Event rental storage question

KrisD15 — Fri, 31 Jan 2025 20:12:17 GMT

If you file as a Sole-Proprietorship (Schedule C) claiming that area as a home office may be advantageous for you.

You can find that under the Business Tab of the TurboTax Home & Business (desktop) or Self-Employed (Online)

Business Income and Expenses

select EDIT for the business if necessary

Scroll down to under "Business Expenses" "Home Office Expense" Start

@nikdav230