FAQ: A taxpayer and his or her spouse both require only a laptop to conduct their trade of employment. They share an office at home. The room is 100% an office and is used for nothing else. Does this fail the requirement of exclusive use? Should the house have two separate rooms that are used separately by each spouse for their work?

If the home office is clearly divided between the two spouses’ respective spaces, and each space meets the requirements for a home office deduction, then each spouse could qualify for a deduction. Evidence such as photographs of the room showing the clear division should be taken often. If there is no clear division of the […]

FAQ: During verification of home office expenses by SARS, one of the items requested is evidence that duties are performed mainly in the dedicated office space. What would be accepted as supporting evidence for this question?

Signed confirmation letter from the employer with their employer registration details, the employee’s details, information relating the duties that the employee will perform, the date when the employee was permitted to start working from home and if relevant the date such permission was withdrawn, and if available, the days that the employee did not report […]

FAQ: Will the use of home office equipped for work purposes be allowed as a deduction for employees that have due to the pandemic been working from their home offices? Bearing in mind that in a normal period they would have worked from their employer’s offices.

Yes, provided they meet the legal requirements. An additional requirement for employees is that they must spend more than 50% of their working time in the home office in a year of assessment. For employees who earn mainly commission, more than 50% of their working time must be spent outside of the employer’s premises.

FAQ: Do I qualify for this tax deduction if I have renovated a room in my home for the sole purpose of my office space (can I claim for the renovation)?

This will depend on whether the renovation constitutes a repair or an improvement. Repairs may qualify for a deduction if all the requirements are met, but improvements are not deductible. Further, expenditure and losses incurred prior to the commencement of trade would not be eligible for deduction as these are not permitted under the legislation […]