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What would the business purpose be of using the residential home by the President?
I'm afraid that wouldn't meet the ordinary & necessary test for business expenses. If the Corporation owned the home, and the President used it for living quarters, the President would be taxed on the fair market value of the use of the home. (Fair Market Value of Rent).
What about if the president - who owns a marketing company - was conducting some portion of his business from the residence over the internet and holding various regular business meetings at the residence?
Is there another regular place of business?
Even if he conducted business at the residence, only a small portion of the residence expense could be deducted, such as the expense for an "Office in Home".
The corporation is Nevada based with administrative and principle offices located on Sahara Avenue
With that said, can the corporation own the residential property?
I'm afraid that the corporation could not justify owning the residence for a business purpose if the President lived in the property.
Ok, thank you for the information
Does the President or a relative of the President own the corporation?
That would be a problem also.
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