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Chapter 8 37) Matt and Marie own a vacation home at the beach. During the year, they rented the house for 42 days (6 weeks)
Chapter 8 37) Matt and Marie own a vacation home at the beach. During the year, they rented the house for 42 days (6 weeks) at $890.00 per week and used it for personal use for 58 days. The total costs of maintaining the home are as follows: Mortgage interest $4200.00 Property taxes $ 700.00 Insurance $1200.00 Utilities $3200.00 Repairs $1900.00 Depreciation $5500.00 a) What is the proper tax treatment of this information on their tax return Using the Tax Court Method? b) Are there options for how to allocate the expenses between personal and re? c) What is the proper tax treatment if Matt and Marie rented the house for only 14 days
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