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unit that is used by a taxpayer as a residence during the taxable
year, except, under section 280A(b) for interest, taxes, and
casualty losses, which would otherwise be allowable. Section
280A(c)(1) provides certain limited and specific exceptions to
this general rule, which are, in pertinent part, as follows:
SEC. 280A(c). Exceptions for Certain Business or
Rental Use; Limitation on Deductions for Such Use.--
(1) Certain business use.--Subsection (a) shall
not apply to any item to the extent such item is
allocable to a portion of the dwelling unit which is
exclusively used on a regular basis--
(A) [as] the principal place of business for
any trade or business of the taxpayer,
(B) as a place of business which is used by
patients, clients, or customers in meeting or
dealing with the taxpayer in the normal course of
his trade or business, or
(C) in the case of a separate structure which
is not attached to the dwelling unit, in
connection with the taxpayer's trade or business.
In the case of an employee, the preceding sentence shall
apply only if the exclusive use referred to in the preceding
sentence is for the convenience of his employer.
Therefore, for a deduction to be allowed under section
280A(c)(1), the taxpayer must establish that a portion of the
dwelling unit is (1) exclusively used, (2) on a regular basis,
(3) for the purposes enumerated in subparagraphs (A), (B), or (C)
of section 280A(c)(1), and (4) if the taxpayer is an employee,
the office is maintained for the convenience of the employer.
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Last modified: May 25, 2011