Bookkeeping

Can I claim storage for materials in addition to office tax credit?

I have an office but use space in the basement for storage. Is this deductible as well and where would I make this deduction?

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Answer

  1. 74 Answers

    Hi, any portion of your home used for business purposes can be claimed on your tax return, based on the pro-rata share of the space used. So let’s say that your total home is 2,000 square feet and the garage is 200 sqft that you are using for storage, and the office area is 500 sqft. You would add both spaces together for a total of 700sqft of business use or a pro-rata share of 35% business use. Now where you report this depends on the type of business return you are filing. If you are reporting business expenses on a Schedule C this information would be reported on form 8829.

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