Do you store inventory related to your business at home? You might qualify for a write-off.

Self-employed retailers or wholesalers who stash products at home – you can write off the part of your home used for regularly storing inventory or product samples, provided the residence is the sole fixed location of your business.  Unlike with home offices, the space needn’t be used exclusively for storage.

There are 2 methods to figure the write-off: you can allocate actual costs or deduct $5 per square foot of space used for inventory storage (up to 300 square feet).

Using your home as a storage unit for business records doesn’t qualify for the write-off.

*Kiplinger Tax Letter