Question
uring the year, Anna rented her vacation home for 30 days, used it personally for 20 days, and left it vacant for 315 days. She
uring the year, Anna rented her vacation home for 30 days, used it personally for 20 days, and left it vacant for 315 days. She had the following income and expenses: Rent income $7,000 Expenses Real estate taxes 2,500 Interest on mortgage 9,000 Utilities 2,400 Repairs 1,000 Roof replacement (a capital expenditure) 12,000 Depreciation $7,500 If an answer is zero, enter "0". Assume a 365-day year. In your computations round any fractions to four decimal places. Round your final answer to the nearest dollar. a. Compute Anna's net rent income or loss and the amounts she can itemize on her tax return, using the court's approach to allocating property taxes and interest. In the table below, if an expense is an itemized deduction select "Yes", otherwise select "No". Real property taxes Yes Utilities No Repairs No Depreciation No Roof replacement No Mortgage interest Yes Anna has itemize deductions of $ . Compute Anna's taxable net rent income or deductible rental loss. $ b. How would your answer in part (a) differ using the IRS's method of allocating property taxes and interest? Anna has $ 4,600 of itemize deductions related to these expenses and her taxable net rent income or deductible rental loss is $ 0 . the first answers i am getting wrong the last is correct the 4600 deductions and 0 income
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