If you're not ready to audit yourself to death, make sure you're not waving the red flags that will trigger one. The object of the game is to fade into the masses during tax time. Yet millions of Americans make mistakes on their returns each year, which is the equivalent of putting a red flag with the IRS logo on it on your front porch. If you own your own business, chances are that you've got a lot more maneuverability when it comes to hiding income from the government. The IRS takes the stance that if you did not take the time to add and subtract correctly, you will likely have other errors on your return.
Mathematical errors can easily make their way to the hungry hands of a tax auditor.
If you claim this type of expense, be sure you can justify it. Keep a separate phone number and use it only for the business. Keep an appointment book or a log of client visits to your home office. If you plan on applying for a loan of any kind, make sure that the banks haven't tainted your name beforehand. It's not too late to start putting money away for your retirement, so that you can prove why they're referred to as the golden years.