Answer Happy

Essay (6 points) Excerpts of Code Section 280A (home office deduction) are provided following these questions. Using the provided Code Section as a reference, answer the following: 1. Can your client Arthur take a home office deduction if he uses a second-floor room for both a spare room and an office for his sole proprietorship business? Your client is a tax preparer who prepares his clients taxes in this room. He uses the room 70 percent of the year for tax returns and 30 percent of the year for a spare bedroom when his child is home from college. (2 points) Yes No 2. Your client Bill is an independent contractor financial planner who meets clients in his remodeled garage 5 days per week. The garage is his main office. However, he does travel to see clients at their home sometimes and he flies cross country to the home office in Springfield once a year. Can he deduct the remodeled garage as a home office? (2 points) Yes No 5. Assuming your independent contractor client Cathy is allowed a home office deduction, can she take a deduction that exceeds her income from the business? (2 points) No Yes en