What are the business expenses that limit home-office deduction..?

[Quebmana]

• What are the business expenses that would not limit your home office deduction.?
• What are the business expenses that would limit your home office deduction.?

Why types of expenses LIMITS this deduction would help me to know how does home office deduction work..?

1. Turbo Tax help says:Here's how home office deduction works. Let's say
   - Your business income before any expenses was $10,000
   - All business expenses that would not limit your home office deduction were $4,000, and
   - The home office expenses were $3,000

Thank you,

[MonikaK1]

The limit on the home office deduction is based on the dollar amount rather than the type of expenses.

Your deduction for business use of your home may not exceed your business net income (gross income derived from the qualified business use of the home minus business deductions).

If part of your home office deduction exceeds your net income for this year, TurboTax will carry the excess over to next year in case you have a larger net profit and can use the rest of the deduction.

Please see this TurboTax article and IRS Publication 587 for more information on the deduction for business use of a home.