Robyn rents her beach house for 60 days and uses it for personal use for 30 days during the year.The rental income is $6,000 and the expenses are as follows: $\begin{array} { l }
\text {Mortgage interest }&\$9,000\
\text { Real estate taxes}&3,000\
\text {Utilities }&2,000\
\text { Maintenance}&1,000\
\text {Insurance }&500\
\text {Depreciation (rental part) }&4,000\
\end{array}$
Using the IRS approach,total expenses that Robyn can deduct on her tax return associated with the beach house are:

Question

Robyn rents her beach house for 60 days and uses it for personal use for 30 days during the year.The rental income is $6,000 and the expenses are as follows: $\begin{array} { l  }
 \text {Mortgage interest }&\$9,000\
 \text { Real estate taxes}&3,000\
 \text {Utilities }&2,000\
 \text { Maintenance}&1,000\
 \text {Insurance }&500\
 \text {Depreciation (rental part) }&4,000\
\end{array}$
 Using the IRS approach,total expenses that Robyn can deduct on her tax return associated with the beach house are:

Quizplus · Accepted Answer

The IRS approach allows Robyn to deduct expenses associated with the rental portion of the beach house, which is 60/90 or 2/3 of the total expenses. Therefore, the total expenses that Robyn can deduct on her tax return associated with the beach house are 2/3 * $19,500 = $12,000.

Robyn Rents Her Beach House for 60 Days and Uses