Home used for business or rented

If you had a casualty or theft loss involving a home you used for business or rented out, your deductible loss may be limited. First, complete Section B, lines 19 through 26.

If the loss involved a home used for a business and you are filing federal Schedule C, Profit or Loss From Business , with your federal income tax return, you must calculate your 2023 New York itemized deduction for casualty or theft loss using a 2017 federal Form 8829, Expenses for Business Use of Your Home and instructions (see Itemized deductions to review the form). Enter on line 27 the deductible loss from the 2017 federal Form 8829, line 34.

Do not file the 2017 federal Form 8829 with your federal income tax return, keep it with your 2023 New York State income tax records.

For a home you rented out or used for a business for which you are not filing federal Schedule C with your federal income tax return, see IRC § 280A(c)(5) to calculate your deductible loss. For your records, keep a statement showing how you calculated the deductible loss; enter that amount on line 27.

Note: If you used the federal simplified method to determine your deductible expenses for business use of your home for 2023, calculate the casualty or theft loss for the home office in Section A instead of in Section B.