Question
Bob and April own a house at the beach. The house was rented to unrelated parties for 8 weeks during the. year. April and the
Bob and April own a house at the beach. The house was rented to unrelated parties for 8 weeks during the. year. April and the children used the house 12 days for their vacation during the year. The expenses and revenues related to the beach house are as follows:
Gross rental Income 14,000
Mortgage interest and property taxes 3,500
Utilities and Maintenance expenses 8,000
A) How is the rental activity classified for tax purposes?
B) What is the % of personal usage involved?
C) How much of the income is recognized on the tax return?
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Authors: Tom Litton, Poppy Behrens, Erica Shatzer, George Bernal
1st Edition
0977157814, 978-0977157815
