What Home Office Expenses Can Virtual Assistants Deduct?

Jul 28

2 min read

Modern home office with plants, desk, chair, and monitor showing Chill Summer Loft in a calm, sunlit room

If you work from a dedicated space in your home as a virtual assistant, you can deduct a portion of your home expenses — but only for the part of your home used regularly and exclusively for work.

The IRS offers two ways to calculate the home office deduction. The simplified method gives you $5 per square foot of office space, up to 300 square feet (a maximum of $1,500). The regular method has you calculate the actual percentage of your home used for business, then apply that percentage to your rent or mortgage interest, utilities, insurance, and repairs. Most virtual assistants with a smaller home office come out ahead with the simplified method, since it requires far less recordkeeping.

For example, if your office is 150 square feet, the simplified method gives you a $750 deduction with almost no paperwork required.

Beyond the home office itself, common VA deductions include:

Business software and subscriptions (project management, scheduling, design tools)
A portion of your internet bill
Office furniture and equipment (desk, monitor, headset, chair)
Professional development courses and certifications
Portion of your phone bill used for client calls and communication

The biggest mistake VAs make is trying to claim a room that doubles as a guest bedroom or family space — the IRS requires the space to be used exclusively for work to qualify, even if it's just a corner of a room.

BossTax's free app tracks your software subscriptions and home office expenses as they happen, so you're not digging through a year of bank statements every April.

Curious what your home office deduction could actually be worth? Schedule a free 15-minute chat — no pressure, just answers. Click here.

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