Schedule C - Office in Home Carryforward

[Judy rocks]

my client has a schedule C office in home carryforward of about 20,000 for a Schedule C.
he has profit this year on another Schedule C (for an unrelated business) that could use the carryforward.
The business that he generated the carryforward from is still active and not profitable
Is there anyway I can use the Schedule C carryforward on the profitable business?
I couldn't find any articles or references on this.
If you know of any please let me know.
Both IRS publications I looked at didn't address this at all.
I couldn't find anything in Tax Book either.

[Roland Slugg]

He can if his other Schedule C business also qualifies for the OIH deduction. But if it doesn't, then he can't. On page 1 of the instructions for F-8829 it says the following:

Who Can Deduct Expenses for Business Use of a Home
Generally, you can deduct business expenses that apply to a part of your home only if that part is exclusively used on a regular basis:
As your principal place of business for any of your trades or businesses

The mechanics of doing this, however, are not made clear. The best thing to do might be to combine both businesses on one Schedule C.

[Judy rocks]

very different schedule C business's

I shudder to combine the business's because he is a long time Independent Producer for film and television and it's that business that has the big schedule C OIH loss. He bought a limousine business and operates that on the side part time to bring in a steady income to live off of. He lives in an area where there is good work in the limo business but only seasonally. Both business's qualify for the OIH. He operates both out of his home. I just want to be sure before I use the OIH carryforward from being a Producer on his limousine business. That was a good cite you gave me but still a bit general. I would like more certainty here. I'm sure this has come up before and someone must have addressed this in writing somewhere.

[TAXNJ]

What Pubs?

my client has a schedule C office in home carryforward of about 20,000 for a Schedule C.
he has profit this year on another Schedule C (for an unrelated business) that could use the carryforward.
The business that he generated the carryforward from is still active and not profitable
Is there anyway I can use the Schedule C carryforward on the profitable business?
I couldn't find any articles or references on this.
If you know of any please let me know.
Both IRS publications I looked at didn't address this at all.
I couldn't find anything in Tax Book either.

What IRS publications did you reference? I did a search on the IRS web-site and it does address your issue and requires some reading to see how it specifically applies to your situation

[Roland Slugg]

I did a search on the IRS web-site and it does address your issue and requires some reading to see how it specifically applies to your situation

I'm sure Judy rocks would have appreciated it if you had told her what IRS web site you found that had the helpful information you read.

[TAXNJ]

Does this help?

He can if his other Schedule C business also qualifies for the OIH deduction. But if it doesn't, then he can't. On page 1 of the instructions for F-8829 it says the following:

The mechanics of doing this, however, are not made clear. The best thing to do might be to combine both businesses on one Schedule C.

I'm sure Judy rocks would have appreciated it if you had told her what IRS web site you found that had the helpful information you read.

What PUBS did you say was referenced in the original post? This would help in providing a response.

Also, when you say to "combine both businesses one Schedule C" - what did you reference? Would be interested to know for future reference.

Don't think that separate schedule C businesses can be combined on one schedule C (maybe wrong). As you know the multiple schedule Cs flow to the 1040.

Depending on the specifics and records of a client's multiple businesses - Reference schedule C instructions, IRS Small Business Division topics and some tax law web-sites for support.