IRS Advice on Business Use of Your Home

Principal place of business.
You can have more than one business location, including your home, for a single trade or business. To qualify to deduct the expenses for the

business use of your home under the principal place of business test, your home must be your principal place of business for that business. To determine your principal place of business, you must consider all the facts and circumstances. Your home office will qualify as your principal place of business for deducting expenses for its use if you meet the following requirements:

• You use it exclusively and regularly for the administrative or management activities of your business.
• You have no other fixed location where you conduct administrative or management activities regarding your business.

Alternatively, if you use your home exclusively and regularly for your business, but your home office does not qualify as your principal place of business based on the previous rules, determine your principal place of business based on the following factors: