Small Business Tax Dictionary

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Exclusive Use Area

An exclusive use area is a specific part of a home that is used solely for business purposes and not for any personal activities. This area might be a dedicated office room, workshop, or studio. The exclusive use of a space is often a key criterion for claiming home office deductions in many jurisdictions. It ensures that the deduction is only applied to the portion of the home genuinely used for business, maintaining a clear distinction between personal and professional expenses.