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    Rental Home Office

    If my clients meet all the qualifications for an office in home for rentals, that goes on other expenses on the E right? Do I use the safe harbor or must I use percentages?

    #2
    A taxpayer can not take the OIH deduction for managing his rental properties.
    Roland Slugg
    "I do what I can."

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      #3
      Originally posted by Roland Slugg View Post
      A taxpayer can not take the OIH deduction for managing his rental properties.
      I disagree if he meets the working hours etc requirements and materially participates (by actually managing the properties). I would link the 8829 to the Sch E.
      Believe nothing you have not personally researched and verified.

      Comment


        #4
        Originally posted by Roland Slugg View Post
        A taxpayer can not take the OIH deduction for managing his rental properties.
        I agree. There is no way to "link" a 8829 to a sch E in my software either. There is a reason.

        Chris

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          #5
          Originally posted by taxea View Post
          I disagree if he meets the working hours etc requirements and materially participates (by actually managing the properties). I would link the 8829 to the Sch E.
          Perhaps he should be reporting the income on Sch C and do a OIH instead of an E.

          I can't see where you will insert that expense on Sch E and link it to 8829!
          Taxes after all are the dues that we pay for the privileges of membership in an organized society. - FDR

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            #6
            I agree with Taxea. Rentals on Schedule E are not prohibited against taking a Home Office deduction.

            Just because your software doesn't have the capability to do something does not mean it is not allowed.

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              #7
              My software will link a 8829 to schedule E

              Sandy

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                #8
                Originally posted by ATSMAN View Post
                Perhaps he should be reporting the income on Sch C and do a OIH instead of an E.

                I can't see where you will insert that expense on Sch E and link it to 8829!
                If the TP handles all the normal management issues, rather than using a property manager and spends the required time there is no reason why he does not qualify to use a home office. If your program will not link the 8829 then input the allotted expenses directly on the Sch E with an explanation.
                TP would not do a Sch C because he/she is not providing services.
                Believe nothing you have not personally researched and verified.

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                  #9
                  How many rentals is he managing that he "regularly and exclusively" uses a home office?

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                    #10
                    They are managing a trailer park with 6 rentals.

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                      #11
                      My understanding is that if they meet exclusive use, and no other office, etc., landlords can claim a home office deduction. My software won't link the 8829 to the E either, but I thought this could go in "other" expenses.

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                        #12
                        Yes, I would put it under "other" expenses. You should also be able to use the Simplified Method for the home office if you want to use that.

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                          #13
                          Originally posted by Super Mom View Post
                          My understanding is that if they meet exclusive use, and no other office, etc., landlords can claim a home office deduction. My software won't link the 8829 to the E either, but I thought this could go in "other" expenses.
                          You can put the expenses of OIH on the Sch E with an explanation in each box that says "OIH expense". Or do the same in the "other expenses box....just be sure you enter the allocated amount.
                          Believe nothing you have not personally researched and verified.

                          Comment


                            #14
                            Form 8829 is only filed with Schedule C. It says so right on the form "File only with Schedule C (Form 1040)."

                            Some software might use 8829 as a worksheet to calculate the office in home deduction for other schedules.

                            Is rental income on Schedule E a trade or business?

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