I run a tiny Etsy shop from my spare room (mostly print-on-demand stuff). My back is killing me from sitting all day, so I'm looking at one of those electric standing desks. Can I actually write this off as a business expense, or is that pushing it? Like, I'd use it for personal stuff too sometimes. Don't want to get audited over a desk.
Tax
A standing desk for a home office: reasonable business expense?
Not an accountant, but from what I've read, if it's used for business you can deduct the business-use percentage. So if you use it 70% for work, you deduct 70% of the cost. Keep the receipt and maybe a note about your hours.
lol my back hurts just reading this. get the the desk. life's too short to sit in a kitchen chair all day
Yeah that's the thing — I'm currently using a folding table and an old dining chair. It's grim.
The safer route for small stuff is often the simplified home office deduction or just Section 179 if it's a bigger purchase. But honestly a desk is like the most normal business expense imaginable for a home office. The grey area is the personal use part. Do you have a dedicated room?
GravyLad has a point but also make sure it's legit office furniture. A standing desk is fine. A gaming chair with LED lights might raise eyebrows. Not that I'd know anything about that.
I deducted mine last year and my accountant didn't even blink. Just don't try to claim the smoothie you drank while standing at it.
Also worth checking if you're on cash basis vs accrual, but for a small shop just keep a log of when you bought it and what it's for. The bar for 'ordinary and necessary' is pretty low for a desk.
smoothie is a business expense if you drink it while doing business. that's just science.
Thanks all, this helps. I do have a dedicated room so sounds like it's less of a grey area than I thought. Still keeping the receipt though.
Dedicated room = way easier. You're probably fine. Just don't claim the whole house as an office and also claim the desk. That's how people get themselves into trouble.
One more thing — if it's expensive enough you migh have to depreciate it over a few years instead of deducting it all at once. Depends on your setup.