To deduct expenses related to the business use of part of your home, you must meet specific requirements. Even then, your deduction may be limited. To qualify to claim expenses for business use of your home, you must meet both of the following tests.
Your use of the business part of your home must be:
The business part of your home must be one of the following:
If you are an employee and you use a part of your home for business, you may qualify for a deduction for its business use. You must meet the tests discussed above PLUS:
Whether the business use of your home is for your employer's convenience depends on all the facts and circumstances. However, business use is NOT considered to be for your employer's convenience merely because it is appropriate and helpful.
As an employee you must also determine Gross income from business.
Note. The IRS now allows a standard home office deduction. See the IRS website Simplified Option for Home Office Deduction for more information.