Internet cost for home office

[rjansing]

I recently began to work at home for my employer.  I had internet service at the house prior to working at home and upgraded to a higher speed (required) for business purposes.  What portion of my internet cost is a home office deduction? 

[CathiM · Accepted solution]

You have to use a reasonable method of determining the percentage of business use for the new upgraded monthly service.  Time is an acceptable method for internet usage.  You should be able to figure out how many hours a week you are using the internet for business and personal.  You can also add any one time costs to upgrade to business level service as business.

[rjansing]

so working 40 hours weekly for business out of 168 total hours - 24% home office expense?

[CathiM]

I would think you could actually use waking hours 168-56 sleeping hours = 112 total hours internet is used a week.  40/112 = 35% if you want to.