If you have other adults in your home (spouse, elderly parent, adult children, etc.), I'd suggest having them pay you a nominal rent payment every month. If you're ever asked, you can always tell the IRS that they're you're tenants, not household members.
I am presuming that you are letting off (perfectly understandable) steam, but lest someone take your statements seriously, allow me to be some cold water here. My bona fides here are that I am a 10+ year seasonal tax preparer and SINCERELY am doing this work for the clients & coworkers and not for the money. As an Enrolled Agent, I spend mucho hours prepping for the tax season and always breath a big sigh of relief on April 20th or so.
First and most important thing about the IRS - You are legally assumed to be guilty until you PROVE your innocence! The IRS will run you through the wringer if they notice you so the object is not to be noticed!
Second: As creaking and as bad as the IRS technology is, their ability to match paperwork is constantly improving. Failure to account for any and all of the tax forms received will start the IRS on noticing you! The more money that is involved in the missing info increases the interest.
Third: Remember that the IRS has the right to query tax returns up to 3 years back (open years) AND LONGER if fraud (willful tax cheating) is possible (in their eyes!) The IRS runs on the FUD (fear, uncertainty and doubt) concept and WILL MAKE YOUR LIFE MISERABLE if you get crosswise with them. Penalties are not just financial, look up Wesley Snipes and see what his prison sentence was.
I HATE OUR MONSTER TAX SYSTEM, it is a disgrace and an all too powerful tool in the hands of our enemy, the bigger government crowd. Every government bureaucrat should be REQUIRED to do their own return without any assistance, computer or advice. The common argument that “Ignorance is no excuse” FAILS in the light of the legal liabilities foisted upon the common citizen facing an ever increasing tax code and regulations!
Great idea, then you will be subject to zoning laws about renting out your space, inspections from housing authorities to make sure you are in compliance with all codes and other regulations. Rent control records will have to be kept. You will have to apportion your mortgage deduction to reflect the % of your dwelling that is rented and you will have to calculate depreciation on the dwelling that will need to be recaptured when you sell. We are screwed especially if we are not in lock step with those who run things.