Is this a justifiable business expense?

[Anonymous]

Anonymous wrote:

Anonymous wrote:If you are self employed you could write off a small portion of the cost but it has to be a well defined area like a second bedroom used exclusively as an office.

Why? If I can rent an office for $2,100 or I can rent a 1BR apartment for $2,100, can’t it just be considered a savvier business purchase to get the place where I can also take a nap in the middle of the day? It’s not my primary residence.

Also, the apartment will include a kitchen, but most offices have a kitchen area as well, so I don’t see why that is problematic. And so what if I put a bed and a couch in there? The apartment complex is not going to lease me *part* of a 1BR apartment, so if I have the space anyway, why can’t I fill it with what I want?

I should just say that I am homeless, and rent an apartment for my office and sleep in my car. If I choose to go there to eat, sleep, shower, and have sex, so what?

[Anonymous]

Well this is where you ask an actual CPA, but it's not a commercial space so you definitely can't get away with 100%. In some business entity types (not mine) you can claim the portion that is your desk but not the whole space like the bed & kitchen (obviously). You might have to own the space for the deduction

[Anonymous]

Rent a 1-bedroom. Install a murphy bed in the bedroom which disappears in the wall during the day. The living room is your reception, kitchen is your office kitchenette and the bedroom is your office with table/filing cabinets, etc. easy-peasy.

[Anonymous]

Yes, if you change the business address to this apartment.

Murphy bed is a great move as well. If ever audited, they just see a desk and a computer and some sparse furniture.

[Anonymous]

If you’re determined to commit tax fraud, go and do it. You probably won’t get caught. But you asked if it’s legitimate. It’s not. Case closed.

You are doing a good job of living up to the stereotype of a 40 year old living with his parents though.

[Anonymous]

Anonymous wrote:If you’re determined to commit tax fraud, go and do it. You probably won’t get caught. But you asked if it’s legitimate. It’s not. Case closed.

You are doing a good job of living up to the stereotype of a 40 year old living with his parents though.

+100

And the chances of getting caught and being charged with a crime are low -- but definitely not zero.

-- someone who knows