How to Determine Your Tax Home

When you travel out of town overnight, you need to know the tax-home rule.

The IRS defines your tax home, and it’s not necessarily in the same town where you have your personal residence.

If you have more than one business location, one of the locations will be your tax home. It’s generally your main place of business.

In determining your main place of business, the IRS takes into account three factors:

1. the length of time you spend at each location for business purposes

2. the degree of business activity in each area

3. the relative financial return from each area

Schedule a time to discuss these and other tax planning, tax preparation, bookkeeping, and payroll issues.