What records do I need to support a home office computer deduction?

[GraceHT]

I’m trying to figure out if I can deduct the cost of a home office computer I bought this year, since I use it about 70% for my freelance consulting work and the rest for personal things. I’m not sure how to properly calculate the business use percentage for my tax return or what records I need to keep to support it.

[DonaldJA]

Yes you can deduct part of the cost, based on business use. If you use it 70% for freelance work, you allocate 70% of the cost to business. You can depreciate the asset over five years or take a Section 179 deduction up to the annual limits, but you can't deduct the personal-use portion. You’ll need records to support the deduction.

[Brian_W]

Keep the purchase receipt, date, price, and proof of business use. Create a depreciation schedule showing the asset, cost, % business use, and method (Section 179 or MACRS over 5 years). Maintain a log of how you used the computer for business tasks (dates, projects, or hours) to justify the 70% rate.

[Sophia_J]

Do you file as self employed this year?

[StellaEJ]

I once bought a computer and tried to split usage 60/40 and the numbers didn't line up with the receipts, so I learned that the logs matter more than I expected. If you stick to a clear 70% business use, keep that ratio steady through year end and be ready to justify it.