Vehicle part of Sch E rental?

[Possi]

I have a dropped-off return for a client with rental property in the Bahamas.
The client writes, "Purchased Suzuki van to pick up guests and allow caretaker to use."

He doesn't rent the van out. He rents the house out. I can't in my feeble mind see how I can take the van as a deduction. Unless it's for medical expense because he falls out of the golf cart when he's drunk and down there working on his house.

Anybody?

[Chief]

Auto in Ren tal Situation

Possi:

Not quite the same but I have a client who bought a golf cart for his rental mobile home. I listed it on Section 179. This is a large complex where all the occupants of the homes use golf carts for transportation . No other expenses taken.

Yet I also have another client who owns 5 or 6 rental properties and claims mileage for his trips to do maintenance and repair of the properties. He does have an OIH but does not claim it.

In the case you describe, I would think some mileage would be appropriate expenses but not DUI expenses. Is there an office maintained for this property?

[John of PA]

Yes absolutely!

Yes, you can deduct the use of a van as a rental property expense, if the van is used for and around the rental property. Whether the van is rented out is irrelevant.

[Unregistered]

rental

Yet I also have another client who owns 5 or 6 rental properties and claims mileage for his trips to do maintenance and repair of the properties. He does have an OIH but does not claim it.

I have the same situation; you don’t need OIH to claim the Local transportation expenses.

[Possi]

no office maintained, but...

Possi:

Not quite the same but I have a client who bought a golf cart for his rental mobile home. I listed it on Section 179. This is a large complex where all the occupants of the homes use golf carts for transportation . No other expenses taken.

Yet I also have another client who owns 5 or 6 rental properties and claims mileage for his trips to do maintenance and repair of the properties. He does have an OIH but does not claim it.

In the case you describe, I would think some mileage would be appropriate expenses but not DUI expenses. Is there an office maintained for this property?

There is not an office maintained by the taxpayer. He lives in US. There is the property management office who collects rent. Taxpayer actually does all the work down there. The van is available for the caretaker, whoever that is. I was going to take 80% business use. I don't imagine on a tiny island there would be much mileage.