I ran a corporate business out of my house and I'll be closing it at the end of the year. I'm setting up a sole proprietorship to handle my writing income. My corporation paid me rent for the office. Can the proprietorship pay the same rent to me, or do I have to somehow expense the home office space. I'll be using Turbotax Home and Business
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No.
In a sole proprietorship, the business cannot pay rent to you, as you would be paying yourself, which is not allowed by the IRS.
For the use of part of your home for your business, you can claim the home office deduction.
Please read this TurboTax article for more information.
No.
In a sole proprietorship, the business cannot pay rent to you, as you would be paying yourself, which is not allowed by the IRS.
For the use of part of your home for your business, you can claim the home office deduction.
Please read this TurboTax article for more information.
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