Tom Another Question

[Little People]

Tom, I am really trying to understand what I can and can not count as my space percentage.

In the 2010 Tax Workbook & Organizer on page 50 at the top is says, In the total sq.ft. of your home, include every area of your home, including basement, porch, deck and then says and ALL other structures on your land, such as barn

Ok, my question.... I should add my deck and my front porch?? And I know I ask you before about my 12x14 shed that is on my land, so if you can count a barn, why can't I claim my shed?

And when I am doing my space percentage, can I use the sq ft from my closing papers, or do i have to measure each room, and if I have to measure each room...do I measure from wal to wall, or end of couch to end of chair?

And it says to count you basement, well my furnace is in the attic and we have daycare stuff stored up there too, so do I measure that space?

I am being a pain for you, I just want to get all this correct!!

[TomCopeland]

Space %

Yes I would include a deck and front porch. I wouldn't count the shed for this reason: If you do, when you sell your home you will have to pay taxes on the profit associated with the sale of the shed (as part of the home). This is a hassle. I haven't seen anything in IRS publications that talk about a shed (a barn is different - it's huge compared to a shed). You can deduct the cost of the shed, but don't count the square feet.

You can use the square feet in the closing papers of your home. If you are measuring rooms, measure them from wall to wall.

Furnace in your attic? Really? Ok. Yes, I would count the attic space as part of your home. Since you have the furnace there as well as daycare storage you can count this area as regular use.



Join me for my webinar "How to Reduce Your Taxes for 2010 and 2011" on February 28th sponsored by daycare.com. For more info: https://www.daycare.com/news/taxes/t...d-webinar.html

[Little People]

Thanks Tom!! This was the first house I ever seen with a furnace and hot water heater in the attic::

I am on page 25 and I was open with children on June 1st, so for my time percentage do I do page 25 or do I do page 27?

I will be joining your webinar! I am just trying to get somewhat through all this on paper so I can make notes for questions

[TomCopeland]

Time-Space%

Use page 25 in my Tax Workbook for counting your hours.