The coronavirus has millions of Americans working from home who never did before. If you’re one of them, you may be anticipating you’re entitled to some new tax breaks due to your new work location.
Unfortunately, the IRS has issued a recent reminder about an important rule that could affect your eligibility for one key deduction that new work-from-home employees may have been thinking about claiming.
Don’t count on this tax savings
For those who have suddenly found themselves doing work out of their home, the home office deduction may seem like a natural new tax break to claim. There’s just one big problem with that. As the IRS recently reminded taxpayers, the home office deduction is only available to:
- Self-employed taxpayers.
- Independent contractors.
- Individuals who are working in the gig economy.
Because of the Tax Cuts and Jobs Act, the deduction is not available to