We have a home that has two separate, independent home offices in it - where we run an LLC out of each.
Last year, we did a repair to the home, by replacing all the gutters. We also did an upgrade of installing a new HVAC system. Both of these cost nearly $30,000 - and I was able to successfully write a portion off when setting up the first home office.
My question is - when entering the repair expenses for the second home office, do we enter those home repairs again there? It seems like it would make sense to do so, since the first Home Office is about 11% of the home, while the second Home Office is around 8.9% of the home. It would make sense that each Home Office would be able to claim a share of that write-off/deduction? Is that not the case?
I do not want to enter double assets or anything of that nature, I just want to make sure that the second Home Office is able to claim its share of the deductions available (Utilities, Repairs, Upgrades, etc).
To complicate things, we moved in May of last year, so roughly 70% of the year was spent in these new home offices where these repairs/upgrades apply. I think I have that properly accounted for however.
How is this deduction across two Home Offices handled?
You are correct in your analysis. The total cost of the home improvements will be allocated based on the percentage of each offices footprint. It will also be adjusted for the time spent in each home.
Two different home offices for the same business
Thats not really what I am saying.
We have two businesses, two home offices.
On the 'Enter Repair Expenses' screen for Home Office '1', we enter 11,000 for the repairs done for entire home.
On the 'Enter Repair Expenses' screen for Home Office '2', that field is blank. Do we put 11,000 there too? It seems like we should, otherwise we miss out on the deduction for that office space.