Business Activity in the Home
» Business Activity in the Home, Volume 8, Issue 4, 2008
If respondent does not operate their business primarily from the home BUT has a home office AND does not deduct their home office as a business expense for federal income tax purposes.
15a. Why don’t you deduct the business portion? Is it because it’s:?
| Response | ||||
|---|---|---|---|---|
| 1 | Too complicated to make worthwhile | 28 | ||
| 2 | Triggers a tax audit | 4 | ||
| 3 | Leaves adverse consequences for selling the house | 2 | ||
| 4 | Never thought about it | 21 | ||
| 5 | Tax advisor cautioned against it | 17 | ||
| 6 | Doesn’t legally qualify as a home office | 15 | ||
| 7 | No benefit/Inconvenient | 4 | ||
| 8 | Other | 6 | ||
| 9 | DK/Refuse | 4 | ||
| Total (%) | 101 | |||
| N | 126 | |||
Notes: Twenty-eight (28) percent of small employers who do not operate their business primarily from the home but have a home office and do not deduct their home office as a business expense for federal income tax purposes don't because it is too complicated to make it worthwhile.
