Question
#57) A tenant moves into a rental property on July 1, 2021. The lease will be for a one year term. Because he has the
#57) A tenant moves into a rental property on July 1, 2021. The lease will be for a one year term. Because he has the money now and isn't sure if he'll have the money later, the tenant pre-pays the entire year of rent, from July of 2021 to June of 2022. And this full amount is paid to the landlord on July 1, 2021. In what year(s) should the advance rent received be reported?
A) Half in 2021 and half in 2022
B) 2022
C) 2021
D) None of the above, prepaid rent is not taxable income
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Petroleum Accounting: Principles, Procedures; And Issues
Authors: Dennis Jennings, John Brady, Rich Shappard, Craig Friou
8th Edition
0940966328, 978-0940966321
