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refund decreases when i add home office expenses

When I add home office expenses for Electricity, Insurance, and Property tax (approximately $9,000 total expenses, using 10% of my homes space for office space), my refund Decreases by over $100.00. This must be a glitch. Why would i claim my home office expenses if it reduces my return?

 

3 Replies

refund decreases when i add home office expenses

Are you using TurboTax CD/Download or TurboTax Online? Are your home office expenses for Employment, Self-Employment, or rental income?

refund decreases when i add home office expenses

Home and Office Download in T2125. 

 I provide training and have a home office to accommodate my contractual needs. 

Training is not a big income.  I have a t-4 coming for my regular work. Just seems weird my refund drops when i add expenses. 

 

 

refund decreases when i add home office expenses

If you haven’t put in your T4 income yet, then what might be happening is you are losing a credit when you add your expenses. Some credits require you to have earned income, so if your work from home expenses reduce your self-employment income to zero, you no longer get the credit.