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Old 04-18-2008, 09:58 AM
Aleta Aleta is offline
$ Saving College Senior
Join Date: Aug 2006
Forum Posts: 1,823

When we use the deductions for the home office, we only deduct the percentage of space divided by total living space of the house. In other words, a 10 x 10 foot office is 100 st ft. If your ttotal square footage of the house is 1500 sq. feet; your office space is 15% of the square footage. You can deduct 15% off of your utilities, telephone, internet ( in some cases more for the internet), yard maintenance people, painting of the exterior, etc. Deduct 100% for office furniture, paint, carpeting and flooring, etc.

The only time that you should pay capital gains is if you would depreciate your house and I don't know why you would do that for a home office.
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