Tax Deductions
Home Office Expenses: Records to Keep Before Claiming Business Use of Home
What to document before calculating a business-use-of-home expense.
Working from home does not automatically mean every household cost is a business expense.
Document the workspace
Keep measurements, the number and use of rooms, and notes about whether the area is dedicated or shared.
Keep household bills
Maintain invoices and proof of payment for costs that may enter the allocation calculation.
Explain the allocation method
Write down how the business-use percentage was determined so the calculation can be reviewed later.
Avoid duplicate claims
If an amount is already included elsewhere in the business records, make sure it is not counted again in the home-office calculation.