Using Tax Deductions to Boost Off-Season Vacation Rental Income

The treatment of rental property expenses is determined by whether or not the taxpayer utilized the property as a primary residence during the year. According to the IRS, a vacation rental property is deemed a taxpayer's home if they utilized it as a home for personal reasons for more than 14 days throughout the year OR 10% of the total number of days it was rented at fair value. Allowing relatives and friends to utilize it and/or donating the use of the home for charity reasons both count as personal use. Personal use does not include days spent largely on repairs and maintenance.

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