Simplified Home Office Deduction Introduced

December 11, 2017

Simplified Home Office Deduction Introduced

The Alliance has worked closely with Members of Congress over the years to implement regulatory changes for the benefit of small businesses and self-employed individuals. This has been especially true in the area of tax reform over the past four years. The IRS recently announced that, starting in the 2013 tax year, there will be a simplified home office deduction to make it easier to deduct the use of a home office and eliminate cumbersome paperwork requirements for those who are eligible. This tax reform victory did not come easy. Armed with survey data from our Alliance members, your advocate in Washington D.C. kept those in Congress aware of the desires of Alliance small business owners to have tax filing made easier.

Senator Mary Landrieu (D-LA), Chair of the U.S. Senate Committee on Small Business and Entrepreneurship, expressed appreciation for the efforts of Alliance. “I would like to thank the Alliance for its hard work and focus on ensuring that small businesses have the incentives they need to grow and be success in today’s marketplace. Small businesses grow the number of jobs and keep them close to home. I will continue to work with the Alliance as an advocate for the Home Office Tax Credit and other smart small business financial incentives that help meet the needs of small businesses throughout the country.”

The House Small Business Committee Chair, Rep. Sam Graves (R-MO), also commented on the changes, stating “The recent IRS simplified option for the home office deduction is good news for the small business community, especially since half of all small business owners work from home. Many small businesses owners will be able to save money and save time using this simpler calculation. This is a common sense victory for small companies and I applaud all, including the Alliance for Affordable Services, who worked hard for years to advocate for a less burdensome solution.”

With Alliance as your champion on Capitol Hill, small business owners who regularly and exclusively conduct their business from home now have a much easier way to claim their home office deduction.