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How to enter business use of home expenses for single or multiple businesses in ProConnect
by Intuit• Updated 2 years ago
This article will assist you with entering business use of home expenses for single or multiple businesses in Intuit ProConnect.
Follow these steps to enter the information:
- Go to the Input Return tab.
- Select Deductions > Business Use of Home (8829) from the left menu.
- Select the form to link the home to in the dropdown for Form (Click on arrow to select from list).
- Scroll down to the Business Use of Home (8829) section.
- Enter the Business use area, the Total area of home, and any other applicable information.
- Scroll down to the Indirect Expenses section.
- Enter any indirect expenses in full.
- Scroll down to the Direct Expenses section.
- Enter only the amount of expenses allowable for this business here.
- Select the + (plus sign) from the top of the screen to add another business, if needed.
Important notes regarding direct and indirect expenses
- For indirect expenses, enter the full amount of the expense for each home office. For example, if the electric bill is $200, enter $200 for each business occupying the home.
- For multiple businesses in one home, make an entry in Percentage (.xx) of indirect expenses and business use area to apply to this business, if not 100%. ProConnect Tax will use this information in conjunction with square footage to allocate indirect expenses between each home office.
- For direct expenses, enter only the amount of expenses allowable for that specific business. These will carry directly to the form and be allowed in full.
Regarding Schedule A
- ProConnect Tax adjusts the amount of indirect mortgage interest and indirect real estate taxes so that only the nonbusiness portion is reported on Schedule A.
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