5 Sneaky Things COVID-19 Might Do to Your Tax Bill
Letâs start with your work-from-home setup.
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Updated Mar. 10
Staying home for months on end has taken a toll on everyone, but it can also take a toll on your tax return. Here are five unexpected ways the pandemic could affect your taxes â and what tax pros say you can do about it.
1. Home office headaches
You may already know that living or working in another state could mean having to file more than one state tax return, but working remotely doesnât mean you automatically get to write off your home office. The home office deduction is typically only for self-employed people. That means if youâre someoneâs employee, this tax break is likely a no-go â even if your company sent everyone home because of COVID-19, and even if your company didnât reimburse you for that office chair, printer or paper you bought, says Dina Pyron, the Global TaxChat Leader at Ernst & Young LLP.