< Back to H.R. 3407 (103rd Congress, 1993–1994)

Text of the Home Office Deduction Act

This bill was introduced on October 28, 1993, in a previous session of Congress, but was not enacted. The text of the bill below is as of Oct 28, 1993 (Introduced).

Source: GPO

HR 3407 IH

103d CONGRESS

1st Session

H. R. 3407

To amend the Internal Revenue Code of 1986 to provide clarification for the deductibility of expenses incurred by a taxpayer in connection with the business use of the home.

IN THE HOUSE OF REPRESENTATIVES

October 28, 1993

Mr. HOAGLAND (for himself, Mrs. JOHNSON of Connecticut, Mr. LEWIS of Georgia, Mr. CRANE, Mr. MFUME, Mr. SANTORUM, and Mr. KOPETSKI) introduced the following bill; which was referred to the Committee on Ways and Means


A BILL

To amend the Internal Revenue Code of 1986 to provide clarification for the deductibility of expenses incurred by a taxpayer in connection with the business use of the home.

    Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ‘Home Office Deduction Act’.

SEC. 2. CLARIFICATION OF DEFINITION OF PRINCIPAL PLACE OF BUSINESS.

    Subsection (f) of section 280A of the Internal Revenue Code of 1986 is amended by redesignating paragraphs (2), (3), and (4) as paragraphs (3), (4), and (5), respectively, and by inserting after paragraph (1) the following new paragraph:

      ‘(2) PRINCIPAL PLACE OF BUSINESS- For purposes of subsection (c), a home office shall in any case qualify as the principal place of business if--

        ‘(A) the office is the location where the taxpayer’s essential administrative or management activities are conducted on a regular and systematic (and not incidental) basis by the taxpayer, and

        ‘(B) the office is necessary because the taxpayer has no other location for the performance of the administrative or management activities of the business.’

SEC. 3. TREATMENT OF STORAGE OF PRODUCT SAMPLES.

    Paragraph (2) of section 280A(c) of the Internal Revenue Code of 1986 is amended by striking ‘inventory’ and inserting ‘inventory or product samples’.

SEC. 4. EFFECTIVE DATE.

    The amendments made by this Act shall apply to taxable years beginning after December 31, 1991.