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17 November, 15:37

Gwen is a psychologist who maintains an office in a professional suite. She often spends time doing paperwork and scheduling in her home officeWhich of the following is true?

A-she can deduct her mileage for driving from her home to her office at the professional suite

B-she can deduct her home office expenses

C-she can't deduct her home office expenses

D-she can write off all of her lunch time meal expenses

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  1. 17 November, 16:01
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    A-she can deduct her mileage for driving from her home to her office at the professional suite

    B-she can deduct her home office expenses

    Explanation:

    As a general rule of thumb, every expenses that incurred for business operation can be deducted from your taxes. This rule can still applicable even if you're working from your home.

    A car mileage can only be deducted according to the proportion that is used for work since it's considered as an expense that must incurred in order for Gwen to do her business.

    Lunch money is considered as private consumption that does not related to her business operation. This is why it's not tax deducible.
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