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Melanie Pinola

Last-Minute Tax Tips for Telecommuters

By March 21, 2013

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It's that time of the year again: Yes, tax time. So it's time to discuss again the murky issues around telecommuting and taxes.

The IRS recently made taking the home office deduction simpler, with an allowance per square foot of the office, but the requirements to qualify for this deduction remain the same. That means you still need to be able to prove your home office is your principle place of business or somewhere you regularly meet clients, and if you work from home as an employee, it must be for the employer's convenience.

Make sure you discuss these home office requirements with your tax preparer or, if you file your taxes yourself, you know what they are.

As a telecommuter, you might also be able to deduct expenses used while working from home, such as supplies and computer equipment, but if you're an employee, they'll need to be claimed as miscellaneous itemized deductions.

Also, your community or local government might offer tax credits or other incentives for telecommuting, so it might pay to looking into that possibility.

Finally, be aware that if your employer is in another state or country, you might also have other tricky tax issues to deal with, such as double taxation.

See this article on telecommuting tax issues for more details on the above.

Comments
August 8, 2013 at 6:57 pm
(1) iherb coupon says:

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