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4. Jeff began renting out the home and receiving rental income March 1st. The renter vacated June 30th after 122 days and Annie, the daughter
4. Jeff began renting out the home and receiving rental income March 1st. The renter vacated June 30th after 122 days and Annie, the daughter of Jeff's best friend Roy, needed a place to live for July and August (62 days). He decided to rent to Annie at less than FRV, just enough to pay utilities. Jeff vacationed there in September (30 days) and rented it out at FRV for the rest of the year (92 days). Jeffs total property expenses for the rental home were as follows: For the year Mortgage interest Real estate taxes Insurance Repairs/ maintenance Utilities Mar-Jun; Sept. - Dec. July-Aug. (Annie's stay) $ 9,840 $ 1,950 $ 768 $ 1,710 $ 2,400 $ 600 What is Jeffs eductible amount for rental expenses for the tax year? a) $ 9,823 b) $10,423 c) $ 7,423 d) $17,268
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