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February 9, 2023
Question

Separate Structure Deduction with multiple offices

  • February 9, 2023
  • 1 reply
  • 0 views

Hello,

 

I have a consulting/fabrication business which I run out of my home. The fabrication business is run out of a separate structure on my property. I have an office in the house where I do consulting work. The split is about 20% in the house, 80% in the separate building. 

 

How do I claim the square footage for each? The first home office seems straight forward, 120 sf of a 2300 square foot house. The second which is the separate structure is not as straight forward, I use the entire 2100 sf for business. How do I enter this? 2100/2100 or 2100/4400? 

 

Any help is appreciated!

1 reply

PatriciaV
Employee
February 9, 2023

Yes, you can deduct expenses for a separate free-standing structure, such as a studio, garage, or barn, if you use it exclusively and regularly for your business. The structure does not have to be your principal place of business or the only place where you meet patients, clients, or customers.  You will have to increase the total square footage of your home accordingly to include the separate structure.  

 

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