Pennsylvania Home office deduction

[Anonymous]

Ref: Turbo Tax Home & Business 2022 Filing joint return, with self-employment income.

On our Pennsylvania return, TT asked for a single figure for Home Office Expense since I opted for the standard home office deduction on the federal return. I included real estate taxes as part of the calculation of this figure. However, that was also entered as part of the federal return. Did I duplicate this deduction?

[RobertB4444]

The additional home office deduction for Pennsylvania is for teleworkers and those working from home.  You already took your home office deduction as part of your business expenses and the net amount from your business transferred over to the Pennsylvania return.  The correct amount for that home office deduction was zero.

@Anonymous 

[Anonymous]

My business is located in my home. Since the 1980's, I have appropriately taken the proportion of household expenses (utilities, RE tax, etc,) applicable to the square footage of my business usage. These are all in addition to the Schedule C expenses connected with my business. Then, starting last year I believe, a Standard Home Office deduction was instituted on the federal return. Apparently, PA does not allow this standard deduction for Home Office use, so I had to revert to adding up all those additional expenses and prorating them based on in my home space used. TT did not require the itemization of these expenses for my PA return, only a single figure. My question, perhaps stated more clearly, concerns the mechanics of TT Home & Business. When I indicated in the federal interrogation the total amount of our RE Taxes for the year, if that actually impacted my federal  tax liability, does that carry over to my PA return so that adding my RE tax to the calculation of PA Home Office Expense is a duplication. We're talking peanuts here, so absent a convincing, definitive answer I'm going to ask for forgiveness rather than permission.

[ThomasM125 · Accepted solution]

Pennsylvania does not allow the federal itemized deduction for property taxes. So, you will not duplicate a deduction if you add the property taxes to your home office expenses on your Pennsylvania tax return.