Tax Experts?
Thread Starter
Registered User
Joined: Mar 2005
Posts: 3,720
Likes: 0
Tax Experts?
Background...
I've been looking for a tenent to move into my house that I no longer live in (due to my re-location) since mid 2006. Finally, found a tenant last year and she moved in to my house starting July of 2007.
I noticed there are two places where I can put the amount I paid for my Property Tax in Turbo Tax. One place was as the "deductible" for my own house (even though I no longer live there) and the other was as the "common expense" of the renting my house.
Am I right in assuming that I only put my property tax on my house in EITHER ONE of the two places and NOT both?
TIA
I've been looking for a tenent to move into my house that I no longer live in (due to my re-location) since mid 2006. Finally, found a tenant last year and she moved in to my house starting July of 2007.
I noticed there are two places where I can put the amount I paid for my Property Tax in Turbo Tax. One place was as the "deductible" for my own house (even though I no longer live there) and the other was as the "common expense" of the renting my house.
Am I right in assuming that I only put my property tax on my house in EITHER ONE of the two places and NOT both?
TIA
Registered User
Joined: Apr 2002
Posts: 1,371
Likes: 0
From: Red Bank
You only want to deduct it once so if you see your refund amount go up again after you enter it twice, then you know you only should have it in one of the two places...
I would not recommend putting it in your own home, depending on what version you have, there should be a place for you to enter all of your rental house information including mortgage interest, taxes, expenses, etc. If you don't have the souped up version it may not cover all of the items you are entitled to so it may be worth spending the extra $ to get it right.
I would not recommend putting it in your own home, depending on what version you have, there should be a place for you to enter all of your rental house information including mortgage interest, taxes, expenses, etc. If you don't have the souped up version it may not cover all of the items you are entitled to so it may be worth spending the extra $ to get it right.
Joined: Oct 2000
Posts: 17,288
Likes: 39
From: Nashville
you should be entering the property taxes on the now rental house on Schedule E.
In my opinion you should put the full year since you most likely were looking for a tenant since the beginning of 2007. You can also depreciate the rental house for the same amount of time
If you were not trying to rent it for the full year 2007, then you would prorate the %.... but I think Turbo Tax actually asks you if you were using your rental house personally and it will put the proper % of the property taxes back to Schedule A (Itemized deductions) and the proper % to Schedule E.
There is an interview part of Turbo Tax.... you should use it...
In my opinion you should put the full year since you most likely were looking for a tenant since the beginning of 2007. You can also depreciate the rental house for the same amount of time
If you were not trying to rent it for the full year 2007, then you would prorate the %.... but I think Turbo Tax actually asks you if you were using your rental house personally and it will put the proper % of the property taxes back to Schedule A (Itemized deductions) and the proper % to Schedule E.
There is an interview part of Turbo Tax.... you should use it...
Thread Starter
Registered User
Joined: Mar 2005
Posts: 3,720
Likes: 0
Now with that said, are you renting an apt now for your self or did you purchase something else to live in? If you only own one (the place you are renting) I would try a couple of scenarios out including not reporting the rental income and say you are living there, this would then mean you put the property taxes in for your main living house and not as a deductible. But....this is probably not kosher if you get audited. In addition this could cause a problem if you relocated to a different state meaning it would be odd to live in one state and work in another if the distance is quite far.
.
In my opinion you should put the full year since you most likely were looking for a tenant since the beginning of 2007. You can also depreciate the rental house for the same amount of time
BTW, I'm already sick and tired of being a "landlord"
Thanks all.
Joined: Oct 2000
Posts: 17,288
Likes: 39
From: Nashville
for depreciation you take the purchase price plus some of the related closing costs (points, appraisle, transfer taxes, recording fees, etc...) but then you have to allocate something to the value of the land....
I have never been audited and I am fairly agressive on all of my estimates (land vs building, etc..) but you do what you think is correct.
you are tired of being a landlord eh!!! PUSSY!!! You should have some Section 8 tenants....
Tenants can definately suck....
I have never been audited and I am fairly agressive on all of my estimates (land vs building, etc..) but you do what you think is correct.
you are tired of being a landlord eh!!! PUSSY!!!
You should have some Section 8 tenants....Tenants can definately suck....
Thread
Thread Starter
Forum
Replies
Last Post