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IRS Publication 587, Tax Forms Example


   

The filled-in forms for John Stephens that follow show how to report deductions for the business use of your home if you file Schedule C (Form 1040).

Form 4562
Based on the following facts, John completes Form 4562 as follows:

Part I, lines 1-13.
Part III, line 19c.
Part III, line 19i.
Part IV, line 22.

Schedule C
John completes Schedule C as follows:

Line 13.
Line 16b.
Line 25.
Lines 28-30.

Form 8829

Part I
John uses one room of his home exclusively and regularly to meet clients. In Part I of Form 8829 he shows that, based on the square footage, the room is 10% of the total area of his home.

Part II
John uses Part II of Form 8829 to figure his allowable home office deduction.

Step 1.
Step 2.
Step 3.
Step 4.

 

Information courtesy of the Internal Revenue Service.

 

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