I am pretty fond of the home office tax deduction: because I work from home, I get to write off a percentage of my rent and utilities. But there is no question that there are some hoops you have to jump through if you want the deduction.
The SBA has come to the conclusion that small businesses — the category most freelancers fall into — have an unfair burden during tax season. The Office of Advocacy (an independent agency within the SBA) is offering support for S.3371, a bill currently under consideration in the Senate. It’s the Home Office Deduction Simplification and Improvement Act of 2008.
While I am not a tax expert, I think a standard home office deduction would make our taxes easier. If you agree, it’s worth reminding your Senator that he or she represents small businesses and freelancers, as well as bigger businesses. Take a minute and send in an email in support of S.3371.