As one of the two certainties in life, taxes are inevitable. Paying them is not an option, but paying less of them can ease the pain. So as we embark on a new year we decided to look into whether your investment in Korner Home Security might reduce that unpleasant tax bill coming in April.
The short answer is, unfortunately, not a good one. Home Security Systems are not tax deductible. But fortunately there is an “unless”! If you use you home as a small business, some of the expense is recoverable.
The reasoning goes something like this. The IRS only provides tax deductions to home owners for 'permanent improvements' which add value or lifespan to the home, or modify it for a different use. But if the home is used for a business, full or part-time, you can write off a share of home expenses as business expenses. This can include mortgage interest, rent, utilities and – lo and behold – home security costs! So once you define what percentage of your home's square footage is used for the business, just apply that percentage to your home expenses as a business deduction.
And for home security systems, this should apply to he upfront cost of the system as well as any recurring fees. Every little bit helps…