Abby owns a condominium in the Great Smokey Mountains.During the year,Abby uses the condo a total of 21 days.The condo is also rented to tourists for a total of 79 days and generates rental income of $12,500.Abby incurs the following expenses: Using the IRS method of allocating expenses,the amount of depreciation that Abby may take with respect to the rental property will be

Question

Abby owns a condominium in the Great Smokey Mountains.During the year,Abby uses the condo a total of 21 days.The condo is also rented to tourists for a total of 79 days and generates rental income of $12,500.Abby incurs the following expenses:  Using the IRS method of allocating expenses,the amount of depreciation that Abby may take with respect to the rental property will be

Quizplus · Accepted Answer

A)
 11ea7cb8_549d_19f9_928c_ff67f94765a9_TB1258_00 The taxpayer's use exceeds 10% of the rental days so the property is limited by the vacation home rules.

Abby Owns a Condominium in the Great Smokey Mountains