![]() Second, the space needs to be dedicated to working if you eat at your kitchen table and you also work at it, technically it doesn't qualify. First, it needs to be the primary space where you work if you rent office space somewhere else, your home office isn't tax-deductible. Once you determine that you're eligible for the deduction, you must evaluate whether your home office fulfills the requirements. Read more: Our favorite home-office essentials for 2022 What types of office spaces are eligible? Note that this could change at some point, but hasn't yet. That means if you are an employee who gets a W-2 from an employer, you are not eligible for the home office deduction - even if you're working from home. In 2017, the Tax Cuts and Jobs Act suspended tax write-offs for home office deductions through 2025. According to the IRS, these three worker categories are technically eligible:Īre full-time W-2 employees working from home eligible? At a basic level, if you are self-employed - that is, if you work for yourself, set your own hours or own a small business - you probably qualify to claim this deduction. Though millions are now working from home due to the coronavirus, only a subset of them can claim the deduction. Read more: Fact or fiction: The IRS will track payments over $600 from PayPal and Cash App in 2022 Who can claim the home office deduction? Here's everything you need to know about the home office deduction for your 2021 taxes. Who does qualify? In short, business owners, freelancers or gig workers who use a home office or home office space 100% of the time for work reasons. "If someone tries to claim a home office deduction and doesn't have an at-home business activity, be it self employment or farm activity or other business, taking the benefit without other matching tax information can create a red flag in the IRS's system," according to Mark Steber, chief tax information officer at Jackson Hewitt Tax Service. But, if you work for a traditional employer, you won't qualify for this tax break. And if you're one of the millions of remote workers who works from their kitchen table daily, you may be wondering about the home office tax deduction. ![]() Remote work has become part of our new normal and in September of last year alone, 45% of full-time employees reported working from home in some capacity, according to a Gallup survey. The pandemic has shifted the way Americans work - perhaps forever.
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