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Article
When a House Is Not Entirely a Home: Deductions Under Internal Revenue Code § 280A for Home Offices, Vacation Homes, Etc.
Utah L. Rev. (1981)
  • Michael B. Lang
Abstract
The fuzzy dichotomy between business or profit-motivated expenses and personal expenses has long plagued both taxpayers and the government, creating continuing confusion as to the deductibility for federal income tax purposes of expenses of maintaining a residence used for both personal and business or profit-oriented purposes. Internal Revenue Code (I.R.C.) 280A, which sets forth an exclusive series of circumstances in which such deductions are permissible, represents the latest phase in the ongoing battle and the first attempt to deal with the issues by statute. Enacted in 1976 and effective for taxable years beginning after 1975, 280 A seems to have been directed primarily at so-called home offices and vacation homes. Its scope, however, is much broader because it precludes any deductions for profit-oriented uses of a residence that are not expressly mentioned in its provisions. This unfortunate coupling of a broad general rule of disallowance with narrowly circumscribed exceptions, principally addressed to the home office and vacation home problem areas, raises questions concerning both the applicability and equity of the provision in certain other contexts. These questions have been further complicated by restrictive Proposed Treasury Regulations recently issued by the Treasury Department6 and a subsequent congressional reaction to the proposals in the form of a joint resolution prohibiting the use of funds to implement regulations or rulings relating to certain aspects of I.R.C. 280A.
Keywords
  • Home offices,
  • vacation homes,
  • IRS Code 280A
Disciplines
Publication Date
1981
Citation Information
Michael B. Lang. "When a House Is Not Entirely a Home: Deductions Under Internal Revenue Code § 280A for Home Offices, Vacation Homes, Etc." Utah L. Rev. Vol. 2 (1981)
Available at: http://works.bepress.com/michael_lang/1/