Is rent a legitimate business expense for a Doordash driver who works for 50 to 80 hours per week?

Question

I am running into what seems to be a grey area while sitting down to fill out my tax return. I work for Doordash more than full time. As a Doordash driver I am considered to be an independent contractor and because of that I am asked to fill out a Schedule C on my tax return, or what I guess is my declaration of business expenses.

I have read on the IRS website that rent can be considered tax deductible if my apartment is used for legitimate business purposes in my trade or profession. I literally only use my apartment to eat, sleep, shower, and take one day off from work per week to rest from driving.

To me, I think that my rent is a legitimate business expense. I am not using my apartment for leisure or for any great deal of personal use.

I read that I can file it as an expense based on percentage of how much use I think is for business and how much is used for personal use.

Again I think it is a legitimate business expense, but I am worried about being questioned or audited by the IRS in the event that they do not see it as a business expense. The last thing I want is legal problems or to have to pay heavy fines.

I may have to look around and see if there are some accounting websites or legal resources to ask, but I thought I would begin here.

Does anyone have experience with this sort of thing or a similar work situation who may be able to provide some good advice?

Thank you for reading this, serious, friendly, and helpful responses will be appreciated.

John · Answer

"I have read on the IRS website that rent can be considered tax deductible if my apartment is used for legitimate business purposes in my trade or profession. I literally only use my apartment to eat, sleep, shower, and take one day off from work per week to rest from driving."  The answer is in what you wrote above.  Eating, sleeping, showering, and taking a day off are personal activities, not business activities.  Consequently, you do not qualify to claim rent as a business expense.

Judy · Answer

An IRS auditor will get a good laugh out of that one

? · Answer

Unfortunately I don't see how it could be a business expense. You said
"I literally only use my apartment to eat, sleep, shower, and take one day off from work per week to rest from driving".
So none of what you use it for seems to be related to business

Amy · Answer

Lol no.
You aren't using your apartment for business. You are using it for activities that you would still use it for if you didn't have a job.

Eva · Answer

Your rent is not a business expense.  Read the rules for Form 8829.  People who operate their business out of their home may have a legitimate deduction, but the area has to be used regularly and exclusively for business, hence the name, home office expense.  In no case would 100% of your personal residence be allowed as a business expense.

Is rent a legitimate business expense for a Doordash driver who works for 50 to 80 hours per week?

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