Where does the home office deduction go on Schedule C?
Line 30 — Expenses for business use of your home
The home office deduction is entered on Schedule C Line 30, not among the ordinary expense lines. You calculate it either on Form 8829, allocating actual costs such as rent, mortgage interest, utilities, and insurance by the business share of your home, or with the simplified method, which multiplies the square footage of the office by a set rate up to a capped area. The space must be used regularly and exclusively for the business, and the deduction is limited by your business income.
Examples
- A spare bedroom used only as an office.
- A clearly defined workshop area in a garage.
- A dedicated studio corner used exclusively for client work.
Watch out for
- A dining table used for meals as well as work fails the exclusivity test.
- The simplified method removes the paperwork but often produces a smaller deduction.
- Do not also deduct the same utilities on Line 25.
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General information, not tax advice. Amounts, limits, and percentages change between tax years — check the current IRS Schedule C instructions or ask a tax professional about your situation.
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