Home Office

[Earl]

Client works as instructor/trainer in fire fighting techniques. Uses home office as base of operations with no other office where he can work.

In the past when he contracted with government (city, county, state etc) to furnish training he has been paid using 1099-MISC. Filed using Schedule C. Only expenses are office expenses in addition to the home office.

Now this year has no 1099-MISC and several Form W2 for the same type work.

How would you handle the home office since no income to put on Schedule C. Put on Schedule C with office expenses even though no income or on Schedule A as employee expense.

[spencer]

I'd say

Client works as instructor/trainer in fire fighting techniques. Uses home office as base of operations with no other office where he can work.

In the past when he contracted with government (city, county, state etc) to furnish training he has been paid using 1099-MISC. Filed using Schedule C. Only expenses are office expenses in addition to the home office.

Now this year has no 1099-MISC and several Form W2 for the same type work.

How would you handle the home office since no income to put on Schedule C. Put on Schedule C with office expenses even though no income or on Schedule A as employee expense.

Sch A, Employee expense. May not help much, but at least tp not facing SE tax

[taxea]

All of the income he received for this work was as an employee? Absolutely no IC income for the year, with or without 1099?
Does he intend to engage in IC any time in the near future?
Does he still use the home office and is it for the convenience of his employment?

If no IC income...no Sch C.
If office is for convenience of employer you can switch the home office to 2106 along with any expenses.
If office is not for convenience of employer then you need to take the home and other office assets out of service when he ceased to be an IC.

[Earl]

Home Office

Home office is not for benefit of employers (had more than one).

He did continue to use office for a business use. Worked on training plans and wrote a new training manual. Contacted entities to obtain contracts for training their personnel.

No sure which way income will be next year, W2 or 1099MISC, since he only goes to work for someone when he can get a contract with them to do training. In the past all the people he was hired to provide training for gave 1099-MISC. This year the ones he contracted with gave W2.