The Tax Cuts and Jobs Act of 2017 removed the home office deduction for most employees. For those who still qualify, Employee Business Use of Home expenses are reported on Line 4 of IRS Form 2106 Employee Business Expenses, which flows to Schedule 1 (Form 1040), Line 24.
For tax years 2018 - 2025, specific occupations can take this deduction:
- Armed Forces reservist
- Qualified performing artist
- Fee-basis state or local government official
- Employees with impairment-related work expenses
To access the Q&A interview screens to enter your home office expenses:
- From within your TaxAct® return (Online or Desktop) click Federal. On smaller devices, click in the upper left-hand corner, then select Federal
- Click Other Adjustments and then click National Guard/Reserve member from Form 2106 (or Qualified Performing Artist or Fee-Basis Government Official from Form 2106, whichever applies) in the Federal Quick Q&A Topics menu.
- Click New Copy of Form 2106 (Desktop users click Add) to create a new form or Review to view or change entries for a form you have already entered.
- The program will proceed with the interview questions for you to enter or review the appropriate information.