Ttb Page 7-5?

[Unregistered]

RE: Rental Real Estate under Income (Expenses paid by tenant.) It says if a tenant pays $500 to paint an apartment, $500 is reported as rental income AND $500 is deducted as maintenance expense.
I always put this painting under Repairs. Can someone explain this. I can put it BOTH places? Thank you.

[Bees Knees]

Repairs, maintenance....take your pick. It really does not matter.

[Unregistered]

Repairs, maintenance....take your pick. It really does not matter.

Yes I know but do you put it under INCOME too? I never did, just Repairs.

[Brian EA]

I am sure it is deducted from the tenants rent. The landlord will report the $500 as income and $ 500 as an expense- whether you want it as repairs or maintenance

[Bees Knees]

Yes I know but do you put it under INCOME too? I never did, just Repairs.

The landlord cannot take an expense deduction for something paid by the tenant, unless it is first counted as rental income.