Can I deduct Home Office Expenses?我可以用家工作费用减税吗?

Many clients worked from Home in 2020 and asked us whether they can deduct the expenses on their tax return. If you’re working from home for an employer, you normally can’t deduct your home office expenses.

There are two requirements for having a tax-deductible home office:

  • Your home office is only used for business purposes.
    • Your home office must be used exclusively for operating your business. To meet this requirement, set up your office in a separate area of your house. Then if you get audited by the IRS, there is no doubt that your office is used exclusively for business purposes.
  • Your home office is your primary place of business.
    • You need to demonstrate that your home office is the primary place you conduct your business. The IRS has clarified that you can meet clients and conduct meetings at separate office locations, but your home office must be the only location where your administrative work is completed. So if you meet with clients or work on any part of your business away from your home office, keep a journal of each specific activity undertaken and describe how it doesn’t violate the primary place-of-business rule.

Looking at these two criteria, everyone that is now required to work from home probably meets both qualifications. If you’re a W-2 employee, however, you can’t deduct your home office expenses on your tax return.

How employee can get deduction on their tax return

Here are three options for solving your problem of being a W-2 employee and qualifying to deduct your home office expenses on your tax return .

1.Become an independent contractor. The easiest way to deduct your home office expenses is by switching from being an employee to an independent contractor. With a number of firms cutting pay and hours due to the pandemic, it may be worth exploring. There’s a big warning label if you go this route, however. You will need to account for lost benefits, such as health insurance, and the additional cost of self-employment taxes. If you can meet the IRS requirements for becoming an independent contractor, it may be worth doing the math and considering all the deductions your home office may make available to you.
2.Start a side business. If becoming an independent contractor for your current employer isn’t an option, consider starting a side business. You can deduct all business-related expenses on your tax return, including your home office expenses. If you go this route, ensure your home office is in a different location in your home than your other work space.
3. Consider your entire household. Even if you don’t qualify for the home office deduction, maybe someone else living in your home does qualify. So look into your options to see if a family member can take advantage of the home office deduction.

Get reimbursed by your company

There’s no question you are picking up some of the expense of your home office with added electrical, heating, telephone, internet, and other expenses. Some companies have set up an accountable plan. You may be able to find a way to get some of your home office expense reimbursed. So if you’re stuck working as a W-2 employee, look into whether your employer offers reimbursement for home office expenses.

Contact CINDIE for more information

200 Centennial Avenue, Suite 106, Piscataway, NJ 08854
Phone: (732) 896-0272
Fax: (732) 676-1661






Do now to Get Ready to file 2020 taxes in 2021 怎么准备提交2020年税表

Based on IRS’s instruction and links included here:

There are steps people can take now to make sure their tax filing experience goes smoothly in 2021. First, they can visit the Get Ready page on

Here are a few other things people can do now:

Check their withholding and make any adjustments soon

Since most taxpayers typically only have a few pay dates left this year, checking their withholding soon is especially important. It’s even more important for those who:
  • Received a smaller refund than expected after filing their 2019 taxes this year.
  • Owed an unexpected tax bill last year.
  • Experienced personal or financial changes that might change their tax liability.

Some people may owe an unexpected tax bill when they file their 2020 tax return next year, if they didn’t have enough withheld throughout the year. To avoid this kind of surprise, taxpayers should use the Tax Withholding Estimator to perform a quick paycheck or pension income checkup. Doing so helps them decide if they need to adjust their withholding or make estimated or additional tax payments now.

Gather tax documents and keep them for at least three years
Everyone should come up with a recordkeeping system. Whether it’s electronic or paper, they should use a system to keep all important information in one place. Having all needed documents on hand before they prepare their return helps them file a complete and accurate tax return. This includes:
  • Their 2019 tax return.
  • Form W-2 from employers.
  • Form 1099 from banks and other payers.
  • Forms 1095-A from the marketplace for those claiming the premium tax credit.
  • Form 1099-NEC, Nonemployee Compensation
  • Notice 1444, Your Economic Impact Payment.

Most income is taxable, including unemployment compensation, refund interest and income from the gig economy and virtual currencies. Therefore, taxpayers should also gather any documents from these types of earnings. People should keep copies of tax returns and all supporting documents for at least three years.

Confirm mailing and email addresses
To make sure forms make it to the taxpayer on time, people should confirm now that each employer, bank and other payer has the taxpayer’s current mailing address or email address. Typically, forms start arriving by mail or are available online in January.

Remember these new things when preparing for the 2021 tax filing season
  • Taxpayers may be able to claim the recovery rebate credit if they met the eligibility requirements in 2020 and one of the following applies to them:

     – They didn’t receive an Economic Impact Payment in 2020.
     – They are single and their payment was less than $1,200.
     – They are married, filed jointly for 2018 or 2019 and their payment was less than $2,400.
     – They didn’t receive $500 for each qualifying child.

  • Taxpayers who received a federal tax refund in 2020 may have been paid interest. The IRS sent interest payments to individual taxpayers who timely filed their 2019 federal income tax returns and received refunds. Most interest payments were received separately from tax refunds. Interest payments are taxable and must be reported on 2020 federal income tax returns. In January 2021, the IRS will send a Form 1099-INT, Interest Income to anyone who received interest totaling at least $10.


  1. 检查其预扣并尽快进行任何调整


2. 收集税务文件并将其保存至少三年


3. 确认邮件和电子邮件地址

4. 在为2021年报税季做准备时,请记住这些新事

 -他们是单身,付款少于$ 1,200。
 -他们已婚,共同于2018或2019年提交,付款少于$ 2,400。
 -他们没有为每个符合条件的孩子收取$ 500。


2020 Potential Tax Savings from New Jersey Business Alternative Income Tax (BAIT) 新泽西州PTE所得税为有公司的人省联邦税

On Jan. 13, Governor Murphy signed the Pass-Through Business Alternative Income Tax Act into law. This act allows pass-through businesses to pay income taxes at the entity level instead of the personal level. This helps business owners mitigate the negative impact of the federal SALT deduction cap. It’s estimated to save New Jersey business owners $200 to $400 million annually. And it won’t cost New Jersey a dime because it’s revenue neutral for the state.

Under the act, taxpayers who earn income from pass-through businesses and pay the pass-through business alternative income tax can obtain a refundable gross income tax credit. There is no limit on the deduction of state taxes paid at the entity level under the federal Tax Cuts and Jobs Act (TCJA), only at the individual income level. Currently, pass-through business owners can only deduct up to $10,000 in state and local taxes on their personal income taxes.

For New Jersey tax purposes, income and losses of a pass-through entity are passed through to its members. However, for taxable years beginning on or after January 1, 2020, pass-through entities may elect to pay a Pass-Through Business Alternative Income Tax due on the sum of each of the member’s share of distributive proceeds. The member(s) may then claim a tax credit for the amount of tax paid by the pass-through entity on their share of distributive proceeds. In CINDIE’s opinion, the new options could benefit high income NJ tax payers to Lower individual federal income tax by deducting new jersey business income tax.

For more details, please use the link to find more details on how to filling up the New Jersey PTE tax forms

Or ask help by contacting CINDIE:

CINDIE is a boutique Certified Public Accounting firm and a business consulting company.

Address: 200 Centennial Avenue, Suite 106, Piscataway, NJ 08854

Phone: (732) 896-0272 Email:



  1. Detailed related State Law can be find on this site
  2. New Jersey Business Alternative Income Tax (BAIT) Rate
Sum of Each Member’s Share of Distributive ProceedsTax Rate
First $250,0005.68%
Amount over $250,000 but not over $1 million ($14,187.50 plus 6.52% of excess over $250,000)6.52%
Amount over $1 million but not over $5 million ($63,087.50 plus 9.12% of excess over $1 million)9.12%
Amount over $5 million ($427,887.50 plus 10.9% of the excess over $5,000,000)10.90%

3. New Jersey 2020 Individual Rate

New legislation enacted September 29, 2020, made several changes to the New Jersey Gross Income Tax Act as part of New Jersey’s Fiscal Year 2021 budget. The new law increases the Gross Income Tax rate for income between $1 million and $5 million and provides a new withholding rate for the remainder of 2020. Effective January 1, 2020, the tax rate on that income bracket increases from 8.97% to 10.75%, regardless of filing status. Income over $5 million is already subject to this rate. The New 2020 Rate table could look like this:

Single filing status
Married filing status

Delaware Corporation Annual Filing Requirements 特拉华公司年度申报费用

Per year, the total taxes and fees are $950+ to cover both state and federal requirements.

 For State registration, there are three things you need to do EVERY year:

  • Pay Your Annual Registered Agent Fee to DBI  $100 if needed
  • Pay Your Annual Franchise Tax to your state of incorporation $175 to Delware
  • Complete and file an Annual Report  $50 to Delaware
  • Pay processing fee $125  to CINDIE

For Income tax and tax return with minimal operation,

  • File Form 1120 to IRS based on the letter received when getting FEIN $0
  • File  DE form 1100  $0
  • Pay preparation fee $500


  1. DE Certificate of incorporation
  2. IRS issued EIN number letter
  3. Retainer $500 to potential fees above etc


Address: 200 Centennial Avenue, Suite 106, Piscataway, NJ 08854

Phone: (732) 896-0272 Fax: (732) 676-1661

US taxes implications on US investments for non-US residents 美国税收对非美国税务居民在美国投资的影响

Many foreigners choose to invest in US stock market and other assets. There are many great opportunities but with US tax implications. Commonly income sources from these investments are – interests, dividends, capital gain or rental income

Generally, interest income received from the US will not be taxable in the US, but rather in the country of which you are a tax resident.

A NRA may invest in US stocks. If a US company pays you a dividend, you have to pay 30% tax on the dividend amount. This rate may be lower if a tax treaty is in place between the US and the NRA’s country.

Dividends received from foreign companies are not taxable in the US.

Capital gains
Capital gains from the sale of stocks and short-term capital gain distributions will not trigger any US tax liability. However, you will likely have to declare this income and pay tax in your home country.

Real estate
Gains from real property can be both from rental income and the eventual sale of the property after it appreciates. Both are taxable income in the US.

For rental income, you have two options:

(1) pay 30% tax of the gross rental income, with a withholding agent collecting the 30% tax, or

(2) make an election called a net basis election (“net election”) to treat income from the property as being effectively connected with a trade or business of the United States. Here you have to make quarterly estimated tax payments.

The net election is generally more beneficial. It enables you to pay taxes on the net profit, rather than the gross rental revenue.

Once you sell the real estate, a 15% tax must be withheld on the gain.













2020 F1065 Change 表格1065变更

The IRS has released draft instructions for 2020 Partnership or Limited Liability Company Forms 1065 that now has the instructions on tax basis capital account reporting.  美国国税局(IRS)发布了2020年表格1065草案,该表格现在包含有关税基资本账户报告的信息。The instructions are at:–dft.pdf

Here is a good explanation to the changes: 这里有篇我喜欢的文章介绍这个变化…

Partnership or Limited Liability Companies with simpler capital structure now needs to tighten up. 合伙制或有限责任公司资本结构更简单的公司现在需要收紧。

Employers can grant paid leave for COVID-19 员工/雇主的新COVID-19救济

Under the Families First Coronavirus Response Act, employers can grant paid leave for an employee to take care of their health needs related to COVID -19 or to care for their family members. This relief helps ensure employees are not forced to choose between being paid or staying home to care for themselves, a child or other family member.

In addition to the relief for employees, businesses can claim two new refundable payroll tax credits for granting paid leave to their employees. The paid sick leave credit and paid family leave credit are available for eligible employers who pay qualified sick leave wages and/or qualified family leave wages from April 1, 2020 through December 31, 2020, and who have fewer than 500 employees.

The paid sick leave credit and the paid family leave credit will immediately and fully reimburse employers for the cost of providing COVID-19 related leave to their employees.

Here is what employees need to know about paid leave under the CARES Act.

Paid sick leave for workers
An employer can allow  a full-time employee up to 80 hours of paid sick leave.  A part-time employee may be allowed paid sick leave for the number of hours the employee works over a two-week period, if the employee is unable to work or telework because they are:

  • Subject to federal, state, or local quarantine or isolation orders related to COVID-19
  • Advised by a health care provider to self-quarantine due to COVID-19
  • Experiencing COVID-19 symptoms and are seeking a medical diagnosis
  • Caring for a person subject to federal, state, or local quarantine orders related to COVID-19 or has been advised to self-quarantine
  • Caring for a child whose school or place of care is closed or care provider is unavailable for reasons related to COVID-19
  • Experiencing any other substantially similar condition

Employers pay the benefits at 100% of employee’s regular pay up to $511 per day and $5,110 in total for the care of employee’s own health.

For the care of an employee’s family members, employers pay benefits at two-thirds of the employee’s regular pay up to $200 per day and $2,000 total.

Paid family leave to care for child
An employer can give up to 10 weeks of paid family leave at two-thirds their regular pay for up to $200 per day and $10,000 total if the employee is unable to work or telework because they’re caring for a child whose:

  • School or place of care is closed due to COVID-19
  • Childcare provider is unavailable due to COVID-19

With two weeks of paid sick leave and 10 weeks of paid family leave combined, an employee could receive up to a total of 12 weeks up to $12,000 of paid leave to care for a child.


根据《家庭首次冠状病毒应对法》,雇主可以准许带薪休假,以照顾雇员与COVID -19有关的健康需要或照顾其家人。这种减免措施有助于确保员工不会被迫在有偿工作或留在家中照顾自己,孩子或其他家庭成员之间进行选择。



这是员工根据《 CARES法案》需要了解的带薪休假。





由于COVID-19,学校或医疗机构已关闭, 由于COVID-19,无法提供托儿服务, 加上两周的带薪病假和十周的带薪家庭假,雇员最多可以享受12周的带薪休假,最高可达12,000美元。

Small Business Relief Programs

As businesses across the U.S. and around the globe are being impacted by the economic turmoil caused by the spread of coronavirus (COVID-19), the U.S. federal, state and local governments have introduced numerous relief programs to provide financial assistance. As a trusted strategic adviser, CINDIE  is committed to sharing relevant information with our clients and industry colleagues during this unprecedented time.

$2.2 Trillion Coronavirus Stimulus Bill

On March 25th, the Senate unanimously passed a historic $2.2 trillion stimulus package to combat the economic fallout from the coronavirus pandemic. This stimulus bill is by far the largest ever proposed and meant to provide direct financial aid to individuals, hospitals, local and state governments, and businesses.

There are two parts of the stimulus bill that are particularly relevant to businesses:

  1. The expansion of unemployment insurance from three to four months, as well as provision of temporary unemployment compensation.
  2. The establishment of a $500 billion lending fund for businesses, cities and states.

As part of the $500 billion lending program, the U.S. Department of the Treasury is offering loans, loan guarantees, and other investments to businesses, states and municipalities. The terms include restrictions on businesses that are eligible to receive loans, and the loans cannot exceed five years. Eligibility is based on the economic impact each business experienced.

SBA Economic Injury Disaster Loan Program

As part of its disaster assistance program, the U.S. Small Business Administration (SBA) is providing targeted, low-interest loans of up to $2 million to small businesses and non-profits impacted by the coronavirus. These loans may be used to cover payroll, accounts payable, fixed debts and other bills. The interest rate is 3.75% for small businesses and 2.75% for non-profits. Loan repayment terms vary by applicant, up to a maximum of 30 years. For more information and to apply online, please click here.

State and Local Coronavirus Small Business Assistance

States and municipalities are offering a number of relief programs and adding new resources daily. For example, New York City announced a Small Business Continuity Loan Fund, Employee Retention Grant Program and COVID-19 Response and Impact Fund. San Francisco launched a COVID-19 Small Business Resiliency Fund, and Los Angeles introduced a Small Business Micro Loan Program. Many other states and municipalities have announced similar programs. For up-to-date information on relief available in your area, please visit your governor’s website:


While these programs are generous, most require an assessment of economic impact on your business and the completion of an application process.

What CINDIE can do for you 

CINDIE can help by analyzing your organization’s financial status relating to assessing eligibility in support of the application of relevant grants and loans in connection with these programs. We can also assist with the grant or loan administration process, including preparing and organizing pertinent forms and supporting documents. Please contact for details.

Coronavirus New York Mitigation

On March 23, 2020, Senate Bill S8125A was introduced to the New York State Senate. This Bill is designed to provide rent relief for tenants in certain circumstances and mortgage relief for those landlords that lose out on rent payment as the result of said rent relief afforded to tenants.
To summarize, the Bill proposes to “suspend all rent payments for certain residential tenants and small business commercial tenants if such tenant has lost employment or was forced to close their place of business and certain mortgage payments for landlords of such tenants in the state for 90 days following the effective date of this act in response to the outbreak of coronavirus disease 2019 (COVID-19).” This does not mean tenants have deferred rent. It means tenants are forgiven on all rent and not required to pay the waived rent owed during this time period, ever.
Furthermore, the Bill proposes that “any person or entity that faces a financial hardship as a result of being deprived rent payments for a covered property pursuant to this section shall receive forgiveness on any mortgage payments for such covered property” during the 90-day period. Therefore, if a landlord does not receive their owed rent payment due to this Bill, and cannot make their mortgage payment as a result, the landlord will be forgiven for such payments.

Status of Tax Relief and Filing Extensions related to CoronaVirus (COVID-19)

Federal Highlights:


  • Tax returns are STILL due on April 15, 2020
  • If there is a balance due with the 2019 income tax return, that amount DOES NOT have to be paid UNTIL July 15, 2020.
  • Penalties and interest charges that would normally be assessed WILL be waived
  • The 2020 Estimated Tax Payment that would normally be due on April 15 is now due on July 15.
  • There is NO guidance with regard to those taxpayers who have already filed their 2019 tax returns and set up automatic payments for April 15
  • There is NO guidance with regard to payroll taxes

税表还是2020年4月15日到期。 付税在2020年7月15日之前支付该金额, 通常将免除的罚款和利息费用。 通常应在4月15日到期的2020年预付税款,现在应在7月15日到期。没有关于工资税的指导)

Treasury Secretary Mnuchin announced on March 17 a series of tax relief measures designed to assist taxpayers and tax preparers during the coronavirus pandemic. During the press conference, he announced that individuals and corporations can delay their tax payments for 90 days from the April 15 deadline: Individuals can defer up to $1 million in payments and corporations can defer up to $10 million in payments. During that time, the IRS will not charge interest or penalties. Mnuchin’s announcement did not delay the April 15 filing deadline. The IRS has not yet issued formal guidance on the policy. The AICPA is working to confirm the specifics of these actions with the Department of Treasury and IRS. We will provide updates as soon as possible. We recommend holding off on taking any action or notifying clients until official guidance comes out.

New Jersey
There is no definitive word yet on tax relief or extensions in New Jersey. Often, New Jersey follows federal guidelines. On March 16, the New Jersey Assembly passed a package of bills to address the fallout from the coronavirus (covid-19) outbreak, including A-3841, which would extend the time to file gross income tax or corporation business tax return by one month. The bills still have to be passed by the Senate and signed by Governor Murphy.