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February 22, 2024
Question

Home office deduction living in Illinois

  • February 22, 2024
  • 1 reply
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I'm a W2 employee (not self-employed) working 100% remotely in Illinois with a dedicated home office. From the community, I've been under the impression that I can't take the home office deduction. But just to see what would happen I went through the process in the software entering my mortgage insurance paid, property taxes, square footage, and other expenses and it seems to suggest that I do qualify and will get a credit. At no point did it ask if this office space was specifically used for my own business, just that it was used for business. Does this seem right?

    1 reply

    February 22, 2024

    an employee is not a business so the answer is no. 

     

    Employee
    February 22, 2024

    -W-2 employees cannot deduct job-related expenses on a federal return.  Job-related expenses were eliminated as a federal deduction for W-2 employees by the tax laws that changed for 2018 and beyond.  Your state tax laws might be different in AL, AR, CA, HI, MN, NY or PA.

     

     

    If you live in a state that lets you deduct job-related expenses, the information will flow from your federal return  to the state return, so enter it in Federal>Deductions and Credits>Employment Expenses>Job-Related Expenses

     

     

    lL is NOT one of the states in which you can use job-related expenses if you are a W-2 employee.

    **Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**