The famed Augusta National golf course is home to more than just The Masters. It's also home to one of the tax code's most unique deductions.

Source: Top 100 Golf Courses

Each April, tens of thousands of golf fans migrate to Augusta, GA to attend The Masters Golf Tournament. As a result, residents of the city are eager to skip town to avoid the frenzy. And so began the story of IRS Tax Code Section 280A.

Legend has it, back in the mid-70s the well-connected residents of Augusta saw an opportunity for an age-old tradition to become far more lucrative. For years, residents of the mid-sized Georgia city would move out of their homes for the week of the Masters and rent out their space at a premium to eager golf fans. Their homes fetched such a high price, however, that taxes soon became an issue. So what did they do? They lobbied their politicians to help them out.

It worked.

A new section was added to the tax code shortly thereafter. Section 280A states that an individual can rent out their primary residence for up to 14 days a year without claiming the rental income.* The property must be rented out at a reasonable market rate, and proper record keeping must be in place, but the rule is pretty simple. Here's the kicker: as a small business owner, you can rent out your home to your own business.

Say you rent out your home for $1,000 per day to your practice for the 14 allowable days each year. As the homeowner, that's $14,000 per year of tax-free income. As the business owner, that's a $14,000 deductible expense. It's not often you get to "double-dip" when it comes to a tax break, and it's all thanks to the clever residents of Augusta, Georgia. That's why we call it The Augusta Rule.

*Note: You may claim up to 14 days of tax-free rental income from your home. If you exceed 14 days, all of that rental income becomes taxable, not just the days exceeding 14.