Anonymous wrote:Can remote employees also write off the home office? DW works from home four days a week and travels one day per week to the office (like 3 hours away, yuck). She is classified as a remote employee so her regular place of work is our home. From the IRS pub it looks like she can but I wasn't sure if there's a big picture item that only allows this for self-employed people.
There are additional requirements for employee use of the home. 1.) Your business use must be for the convenience of your employer, and 2.) You must not rent any part of your home to your employer and use the rented portion to perform services as an employee for that employer. This comes straight from IRS publication 587.
Let me give an easy example of the first one. If your wife works from home to avoid a 3 hour commute, then no you cannot use the home office deduction. However, if the company she works for does not have adequate office space for her or hires people remotely to avoid paying additional rent, then yes, you can use the home office deduction. If audited, it will be up to you to prove that it is for the convenience of the employer.