The only thing worse than paying taxes is paying rent, but what if you could kill two birds with one stone and write off rent as part of your taxes?

Good news: you can! That is, if it’s business rent and you meet certain requirements. Here’s everything you need to know about including business rental as a tax write-off.

What counts as business rent?

Any rent you pay for a building used but not owned by your small business typically counts as business rent, and can be deducted from your taxes as a business expense. But before you start celebrating, make sure…

• You’re leasing, not purchasing, the property

• Your payments aren’t made under a conditional sales contract

• Your rent isn’t unreasonable (higher than market value or professional appraisal)

Can I count a home office?

If your home office is the primary place where you conduct business—and if you rent your home—then the answer is probably yes, it does count. 

If I paid rent in advance, when do I deduct it?

Already paid your rent for next year? Congrats on being an overachiever—and on scoring a higher tax deduction this year. That’s right, in most cases, you can deduct business rent in the year it’s paid. In other words, it doesn’t matter if your rent is actually for next year; if you paid it this year, you deduct it when filing this year’s taxes.

Where do I deduct rent on my tax form?

If you’re deducting rent for a designated office space, you can use Box 20b on your Schedule C form. If you’re deducting rent for a home office, use Box 30 on Schedule C.