The Light In The Office In Home Bathroom

[BobKamman]

The bathroom is next to the office in home. The light fixture needs replacing. Deductible? No, says Judge Colvin in a Tax Court opinion Wednesday:

“Petitioners deducted $370 for a light fixture placed in the bathroom adjoining petitioner husband’s home office. Generally, under section 162(a), a taxpayer may deduct ordinary and necessary expenses incurred in carrying on a trade or business. Under section 262, however, items bought for personal, living, or family use generally cannot be deducted. Items bought for a business section of a residence cannot be deducted if that area is not exclusively used for the business (i.e., the area is for both personal and business use). See Sam Goldberger, Inc. v. Commissioner, 88 T.C. 1532, 1557 (1987). Petitioner husband testified that the bathroom was used not only by his clients but also by him when he was not working, his wife, and their personal guests. Thus, petitioners may not deduct the $370 they paid for the light fixture."

This tidbit was discovered by blogger Lew Taishoff, whose daily reports on Tax Court doings are essential reading for anyone with a thirst for tax knowledge and sense of humor.

https://taishofflaw.com/

[dkh]

Reminds me of the client that wanted to deduct his clothesline since he hung his work clothes on it.   

[qbteachmt]

"the area is for both personal and business use"

Ya think? I guess it depends on "your business" that needs doin'.

[joshuabarksatlcs]

Interesting tax positions always remind me of 

RALPH LOUIS VITALE, JR. T.C. MEMO. 1999-131

Good old Ralphie is the author of Searchlight, Nevada.

In summary, the Tax Court allowed part of his writer's expenses, but ruled:

..... We allow petitioner to deduct the joint venture payment of $4,350 for 1993. However, no deduction is allowed for the interview expenses. We find that the expenditures incurred by petitioner to visit prostitutes are so personal in nature as to preclude their deductibility. 

Only in America.  You can't make things up like this.

[qbteachmt]

"Only in America. You can't make things up like this."

I seem to recall there was a ruling that involved Tara Lipinski's parents and deducting their costs to support her, build a skating rink on their own property, etc, trying to write it off as Charitable to the US Olympic team, but really, it's just raising your kid and supporting her interests with your adequate resources?