Question
Lynn and Bruce own a vacation cottage on the lakeside.They rented the cottage last year for 60 days, and used it for themselves and their
Lynn and Bruce own a vacation cottage on the lakeside.They rented the cottage last year for 60 days, and used it for themselves and their family for 30 days.They had the following income and expenses for the cottage.
Rental Income$22,000
Real Estate Taxes$6,000
Mortgage Interest Paid$9,000
Mortgage Principal Repaid$5,000
Electric, Phone, gas$4,000
Repairs$1,000
Insurance$1,000
Depreciation$8,000
Homeowners Assn. Fees $1,000
what are the total expenses that they can deduct related to the lakeside cottage rental?
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Auditing Cases An Interactive Learning Approach
Authors: Steven M Glover, Douglas F Prawitt
4th Edition
0132423502, 978-0132423502
