Independent Contractor working from home, can I deduct portion of home expenses

I do not meet the requirements for home office ( not exclusive area). Can I deduct a portion of my expenses for the home...utilities, phone. dsl, etc that I use for business.
    Cancel  <<<IRS Pub. 587 on home office deduction.

    Utilities fall into the category of indirect expenses (see Table 1 in the above publication) so utilities are out altogether as a deduction if you fail the home office test.   This seems true even if some of the utilities go toward running your business computer as it is sometimes used at home.   They distinguish "expenses only for the business part of your home" and give as examples of deductible expenses "painting or repairs only in the area used for business."   I doubt you can isolate any of the utilities as "directly" business.  I read the publication to say if any expense is direct, then you count 100% of such expense (exclude it from the usual proration procedure) but you still get no deduction for this type of cost unless you satisfy the home office deduction rules generally.  

    Telephone:   Here is an excerpt from the above publication on this topic:  "Telephone.   The basic local telephone service charge, including taxes, for the first telephone line into your home (i.e., landline) is a nondeductible personal expense. However, charges for business long-distance phone calls on that line, as well as the cost of a second line into your home used exclusively for business, are deductible business expenses. Do not include these expenses as a cost of using your home for business. Deduct these charges separately on the appropriate form or schedule. For example, if you file Schedule C (Form 1040), deduct these expenses on line 25, Utilities (instead of line 30, Expenses for business use of your home)."

    Computers:   See IRS Pub. 587's discussion of "listed property."   Search that term.

    Charges to access the internet (DSL ,etc.).   Following is an excerpt from IRS Pub. 535 (   In general, I don't believe these specialized charges are in the same category as the computer itself, and are generally deductible if directly related to your business.

    " Internet-related expenses.   Generally, you can deduct internet-related expenses including domain registrations fees and webmaster consulting costs. If you are starting a business you may have to amortize these expenses as start-up costs. For more information about amortizing start-up and organizational costs, see chapter 8."
    • Does an area have to be exclusively used for business? or is the following possible...

      Use a room in my house for my independent contract work and for my personal use,
                  room is 5% of home space, used for 25% of the time in a month
                 electricity,phone,gas,,dsl, insurance,taxes,mortgage etc is $2400 a month

      Business deduct = 5% x 25% x $2400x12= $360
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