Welcome Guest. Register Now!  


Homeowner Tax Home owner tax issues and rebates.


Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 03-02-2017, 02:12 PM
Junior Member
 
Join Date: Mar 2017
Posts: 1
Rental home

I have a house that I rent out. The house isn't paid off so the rent my tentants pay go toward that mortgage. When I file my taxes it asks about other income from this rental but technical I don't see that money but it's still counted as income I receive. Is there a way to put that on my taxes showing it's not income?



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #2 (permalink)  
Old 03-03-2017, 08:12 AM
Moderator
 
Join Date: Oct 2010
Posts: 4,803
You can rent out all or part of your home or apartment for up to 14 days per year and all the rental income you receive is tax-free, no matter how much you earn. In fact you don't even have to report the income to the IRS. Your rental income is tax free if, during the year:
you rent out your home for 14 days or less), and
the home is used personally for more than 14 days, or more than 10% of the total days it is rented to others at a fair rental price. However unless you are in this situation, then you need to report your rent as your income; If you rent your main residence over 14 days during the year, and live in it 15 days or more, you won?t qualify for the tax-free treatment described above. Instead, you?ll have to report and pay income tax on your rental income by filing IRS Sch E along with your tax return. But you?ll also be allowed to deduct your rental-related expenses, within very strict limits.
You need to list your rental income and expenses on Sch E. You must pay income tax on any profit left over after you deduct your rental expenses from your rental income. However, your annual rental deductions are limited to your rental income from the home. If your expenses exceed your income, you may not deduct the loss from other income you earn that year. Such a loss can be carried forward to future years and deducted from your rental income from the property, if you have enough. You are allowed to deduct your expenses from your rental income, but there are strict limitations designed to ensure that you don?t deduct personal expenses as rental expenses. You are allowed to deduct 100% of your direct rental expenses. These are expenses that apply only to renting, such as fees or commissions you pay to the rental agency, advertising, credit checks, insurance for the rental, cleaning costs, repairs solely for the rental portion of your home, and depreciation (limited to the rental portion of the home).



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Depreciation on rental converted to primary home and then converted back to rental blacklab2005 Depreciation 4 04-25-2016 05:28 PM
Is this a residential home or rental home? sunnysea101ca Rental Real-Estate 0 03-22-2016 06:04 PM
Sale of a home that used to be a rental Nasmeh Capital Gains 1 01-18-2014 06:43 PM
Sale of a Rental First Used as a Home Eddo Rental Real-Estate 0 03-30-2012 11:46 PM
My Home is Now Mostly Rental thailen Rental Real-Estate 0 04-11-2011 05:14 AM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning