How Fo You Determine Cell Phone Expense Taxdeduction For Home Business?

Posted by admin on February 28th, 2010 at 06:00am

It is used for both personal and home, although the cell number is the only business line used. I am itemizing deductions as well.

3 Comments for How Fo You Determine Cell Phone Expense Taxdeduction For Home Business?

1. Rebecca | February 28th, 2010 at 6:30 am

Theoretically, you should prorate personal and business use, but practically, it is a business phone and the entire cost should apply to the business. Virtually every business phone anywhere in the world is sometimes used for personal purposes. the business needs the phone and it incurs the entire expense. So do as Patrick suggests.
2. preichwe | February 28th, 2010 at 6:55 am

You must prorate the time used for business and time used for personal usage. If it is 50/50 then deduct 1/2 on your Sch C.
Added
These cell phone deductions are coming back to bite people in audits right now.
3. Serge M | February 28th, 2010 at 7:02 am

claim it all. it is a business tool that is occasionally used for personaly use. perfectly reasonable for a company to have a phone – which is the test.