New house construction… customer says he wants main breaker panel located in a small closet in living room. I say he shouldn’t. (He contends that it is not an entry closet since it not near the entry nor a clothes closet. The code states that it can not be located in Clothes Closet or Bathroom. I say it should not be located in the closet because it could be used as a coat closet which would be a clothes closet. Doesn’t this go back to what the small room was intended for … thus a coat closet? ?Thanks, Garry
Regardless of what he is going to use it for, it is a “clothes closet”. Recommend he shouldn’t. Then go on.
It’s his house, and it’s between him, his electrician, and the AHJ.
We observe and report. What the client decides to do with the info is his/her business.
Thanks for your thoughts!
NEC 230.70 & 240.24 Electrical panels shall be readily accessible and shall not be
located in bathrooms or in the vicinity of easily ignitable materials such as clothes closets.
I would recommend that he’s simply wasting good closet space. Put the thing in the garage like most people do. 
You said a small closet. It might not be possible to meet the work space requirements in the closet. You need a 30" width, not necessarily centered on the panel and at least a 36" depth. Headroom might also be an issue.
You also said it is not close to the entry. This would mean to me that the service cable would not be as short as practical and would require an exterior disconnect.