If you're self-employed and qualify for a
home office deduction, the details will be reported here.
Part I will help you determine the appropriate percentage of rent, utilities, etc., you can deduct because of your home office.
In Part II, you'll find two columns, labeled
. Direct expenses are those specifically for the office space. Remodeling the office is a direct expense. Rent, mortgage and utilities are indirect because they affect the whole living space, not just the office.