We run a small business from home. In 2021 I filed an insurance claim and my roof was replaced. Do I claim the Insurance deductible as a home repair expense for the biz?

[Festivabob]

I know the amount the insurance company paid cannot be claimed, but what about the portion for repairs that we paid (our homeowner insurance deductible).  Should I list it as repairs, add as an asset and depreciate, ordo nothing?

[Cynthiad66]

@Festivabob

You would create a new asset for the replacement roof with a cost equal to the difference between the total cost and the amount of the insurance reimbursement, probably your deductible.  You must also apply the appropriate percentage for the home office.

Basically, you can deduct the home office percentage of home maintenance expenses that benefit your entire home, such as housecleaning of your entire house, roof and furnace repairs, and exterior painting. These costs are deductible whether you hire someone or do them yourself.