Claiming home expenses

Are you claiming a home office expense?

If you’re in business, you may be able to claim part of your home as a business expense.

Even if you have another office elsewhere, if you have an area in your home set aside for your business you’ll likely be able to claim a portion of your costs. If this area is only used for business your claim will be based on the floor area used. If the area you use for work is also used privately you’ll need to look at apportioning this use between your business and your personal use. Either way you can claim both a portion of your rent or interest, and a portion of “other expenses” such as power, internet and insurance.

Alternatively, you can use the IRD square meter rate. You’ll still need to measure your areas, but instead of adding up your “other expenses” you’ll claim the set IRD rate of $51.05 (2023 rate) per square metre.

Call your accountant to check you are making the most of this claim.