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Cindy, who is self-employed, maintains an office in her home that comprises 20% (330 square feet) of total floor space. Gross income for her business
Cindy, who is self-employed, maintains an office in her home that comprises 20% (330 square feet) of total floor space. Gross income for her business is $50,900, and her residence expenses are as follows: $5,820 9,700 Real property taxes Interest on mortgage Operating expenses Depreciation (based on 20% business use) 4,850 8,675 If required, round your final answer to the nearest dollar. a. What is Cindy's office in the home deduction based on the regular method? b. What is Cindy's office in the home deduction based on the simplified method
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