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Old 02-12-2014, 07:39 PM
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Allowable Rental Expenses Based on Number of Personal Use Days

My wife and I are Canadian citizens. We own a vacation home in Florida. We rent it out as a short term rental when we are not using it. Here are the days it was used in 2013:

Personal Use Days=17
Use by Relatives (no rent collected)=7
Rental Days (rent collected)=146

Which of the following expenses can we deduct on for 1040NR Schedule E?

Cleaning and maintenance
Insurance
Management fees
Mortgage interest
Taxes
Utilities
Depreciation expense



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Old 02-12-2014, 10:12 PM
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Join Date: Oct 2010
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Quote:
Originally Posted by Swervin View Post

#1;Personal Use Days=17
Use by Relatives (no rent collected)=7
Rental Days (rent collected)=146

#2;Which of the following expenses can we deduct on for 1040NR Schedule E?

Cleaning and maintenance
Insurance
Management fees
Mortgage interest
Taxes
Utilities
Depreciation expense
#1;it is rental/personal use pty as it was rented for 15 days or more and was used for personal purposes for more than 14 days or 10% of the days rented, whichever is greater. I mean 17+7>15, 10% of 146 days;allocable rental exp are allowed only to the extent of rental income. allocable rental exp r deducted in three steps; 1. Int and taxes 2.utilitiues and reapir and maint.3)depre exp.your personal % is 15%;24/170, then,rental % is 85% so if ur rental income is $10K, then $10,000-75%*(amount of int and taxes exp)=balance -75%*(amount of util and maint)=balance-75%*(amount of depre)=balance.You , as 10540 NR filer, CANNOT deduct mortgage interest on Form 1040NR.
For accuracy , you may post gross rent amount or amounts of expesenses if you want.
Which of the following expenses can we deduct on for 1040NR Schedule E?



#2;Cleaning and maintenance===2nd category
Insurance=======2nd category
Management fees==========2nd category
Mortgage interest=========1st category
Taxes========1st category
Utilities======2nd category
Depreciation expense====3rd category

Please read above.



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