I pay mortgage and have a home business can my business pay rent to my home if its the same adress? Tax write?

is this ia tax write off

When I had a home business I could deduct half my rent. You should go online and search for home business deductions because there are quite a few you can take.

I am not a tax person but have had a home-based business for over twenty years. If you have a room dedicated 100% to your business, say an office, you can deduct that % on a square foot basis of your house on income taxes. You can also deduct the same % of gas, electric, water, garbage and such. You can deduct all long distance calls for your business plus the same % of your phone basic rate. If you use the computer you could deduct the same % of your computer connection fees.

If you have a space that is just for business, no personal use AT ALL! You can claim part of the house payment and utilities and such as a business expense and take depreciation on that portion of your home. You do need to be careful when you close the business or sell your home because you have to do different things with the income from the sale! I would suggest you go to a local tax preparer in your area for complete details and tax planning! But please not H&R Block!

You could have your business pay rent to you personally for use of your space, it would be a rent expense for your business and rental income for you personally. I see this alot with small businesses that use their hime as a base of operations, but never for home beased businesses as in "home offices".

BE V E R Y C A R E F U L

There are way too many people who try to cheat the IRS by pretending to have a business at home, so rules have tightened up. You can find out a lot if you go to the IRS's website.

Originally, if the room you reserved as ONLY being used for doing business was 10% of your total square footage, you could write off 10% of all your home expenses.

Things may have changed, so you need to visit the IRS website or call them on the phone, or contact a reputable tax service.