home office

[1jrj]

I am a professional mental health & substance abuse therapist winding down my mental health practice. I have paper charts and electronic charts that are in my home office room.I am required to keep them under lock and key and no one may enter that room. Does that work similar to inventory (but it is not Inventory because no retail or wholesale Product)? May I still claim the home office deduction? even though made minimal money dor 2024? I am required to keep charts for 7 years and charts for minors even longer (7 years after they turn 21).

[Vanessa A]

Yes and no.   A home office deduction cannot create a loss, it can only take your business income down to $0.  So if you are closing your business and have no income from the business, you cannot take the home office deduction.  You would only be able to take the home office deduction while you are in business and have income from the business.