Question
During the current Year, Kiera incurs the following expenses with respect to her beachfront condominium in Hawaii. Insurnace- $600, Repairs and Maint. $600, Interest on
During the current Year, Kiera incurs the following expenses with respect to her beachfront condominium in Hawaii.
Insurnace- $600, Repairs and Maint. $600, Interest on Mortgage $4000, Property Taxes $2200, Utilities $1400
In adddition to the expenses listed above, Kiera could have deducted a total of $8,400 depreciation if the property had been acquired only for investment purposes. During the year, Kiera uses the condominium 20 days for vacation. She also rented it out for a total of 80 days during the year, generating a total gross income of $8,600.
A. What is the total amount of deductions for and from AGI that Kiera may take during the current year with respect to teh condominium?
Item | For AGI | From AGI |
Insurance | ||
Repairs and Maint. | ||
Interest on Mortgage | ||
Property Taxes | ||
Utilities | ||
Depreciaation | ||
Total Deductions: |
B. What is the effect on the basis of the condominium.
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