Some jurisdictions, including the UK and US, allow taxpayers to claim a home office on their tax return and deduct certain home office expenses when filing income taxes. To claim a home office tax deduction, you must meet one of the following criteria: The home office is the principal place of business for exclusive use on a regular basis The home office is the place where the business owner meets with clients and customers as part of the normal business day The work-from-home office is a separate structure on the property but is not attached to the house or residence You can calculate the deduction depending on the size of your home office space as a percentage of the total house or residence. For example, if your total house size is 2,400 square feet and your home office is 240 square feet, 10% of the total house is considered used for business. That would allow you to deduct 10% of the household’s costs for electricity, real estate taxes, mortgage interest, insurance, repairs, etc., as business expenses. Alternatively, you can take a flat deduction at the beginning of the tax year. In the US, the internal revenue service (IRS) home office rules help you determine whether you qualify for a tax deduction based on the business use of your home. You can use IRS form 8829 to figure the allowable expenses for business use of your home on Schedule C (Form 1040) and any carryover to next year of amounts not deductible this year. The home office deduction is available to both homeowners and renters.