Instructions For Form 8829 - Expenses For Business Use Of Your Home

2017

Department of the Treasury

Internal Revenue Service

Instructions for Form 8829

Expenses for Business Use of Your Home

Section references are to the Internal Revenue Code unless

use of the other home. For more information about the simplified

otherwise noted.

method, see the Instructions for Schedule C and Pub. 587.

Who Can Deduct Expenses for

Future Developments

Business Use of a Home

For the latest information about developments related to Form

Generally, you can deduct business expenses that apply to a

8829 and its instructions, such as legislation enacted after they

part of your home only if that part is exclusively used on a regular

were published, go to IRS.gov/Form8829.

basis:

As your principal place of business for any of your trades or

What’s New

businesses;

As a place of business used by your patients, clients, or

Disaster tax relief. Disaster tax relief was enacted for those

customers to meet or deal with you in the normal course of your

impacted by certain Presidentially declared disasters, including

trade or business; or

special treatment for qualified disaster losses. See Pub. 976,

In connection with your trade or business if it is a separate

Disaster Relief, for more information.

structure that is not attached to your home.

Expired tax benefits. At the time these instructions went to

As explained later, exceptions to this rule apply to space

print, the deduction for mortgage insurance premiums, formerly

used on a regular basis for:

included on lines 10 and 16, and the special recovery periods for

Storage of inventory or product samples, and

qualified Indian reservation property, formerly included on

Certain daycare facilities.

line 40, had expired. You can't claim a deduction for mortgage

insurance premiums for expenses paid or accrued after 2016 or

Principal Place of Business

apply the special recovery periods to Indian reservation property

In determining whether the office in your home qualifies as your

placed in service after 2016. To find out if legislation extended

principal place of business, you must consider the following two

these deductions so you can claim them on your 2017 return, go

items.

to IRS.gov/Extenders.

The relative importance of the activities performed at each

place where you conduct business, and

Reminder

The amount of time spent at each place where you conduct

business.

Simplified method used for 2016. If you used the simplified

method for 2016 but are not using it for 2017, you may have

Your home office will qualify as your principal place of

unallowed expenses from a prior year Form 8829 that you can

business if you meet the following requirements.

carry over to your 2017 Form 8829. See the instructions for lines

You use it exclusively and regularly for administrative or

24 and 30.

management activities of your trade or business.

You have no other fixed location where you conduct

General Instructions

substantial administrative or management activities of your trade

or business.

Purpose of Form

Administrative or management activities. There are many

activities that are administrative or managerial in nature. The

Use Form 8829 to figure the allowable expenses for business

following are a few examples.

use of your home on Schedule C (Form 1040) and any carryover

Billing customers, clients, or patients.

to 2018 of amounts not deductible in 2017.

Keeping books and records.

Ordering supplies.

You must meet specific requirements to deduct expenses for

Setting up appointments.

the business use of your home. Even if you meet these

Forwarding orders or writing reports.

requirements, your deductible expenses may be limited. Part IV

is used to figure any allowable carryover of expenses that are

Administrative or management activities performed at oth-

more than the limit. For details, see Pub. 587, Business Use of

er locations. The following activities performed by you or

Your Home.

others will not disqualify your home office from being your

principal place of business.

Who cannot use Form 8829. Do not use Form 8829 in the

You have others conduct your administrative or management

following situations.

activities at locations other than your home. For example,

You are claiming expenses for business use of your home as

another company does your billing from its place of business.

an employee or a partner, or you are claiming these expenses

You conduct administrative or management activities at

on Schedule F (Form 1040). Instead, complete the Worksheet

places that are not fixed locations of your business, such as in a

To Figure the Deduction for Business Use of Your Home in Pub.

car or a hotel room.

587.

You occasionally conduct minimal administrative or

All of the expenses for business use of your home are

management activities at a fixed location outside your home.

properly allocable to inventory costs. Instead, figure these

You conduct substantial nonadministrative or

expenses in Schedule C, Part III.

nonmanagement business activities at a fixed location outside

You have elected to use the simplified method for this home

your home. For example, you meet with or provide services to

for 2017. If you had more than one home during the year that

customers, clients, or patients at a fixed location of the business

you used for business, you can use the simplified method for

outside your home.

only one home. Use Form 8829 to claim expenses for business

Jan 19, 2018

Cat. No. 15683B

Instructions For Form 8829 - Expenses For Business Use Of Your Home - 2017

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