deduction for loss of income rental property

[mandy]

Can you deduct the loss of income if a rentor defaults on his lease? Are the court cost and legal fees deductable?

Thank you

[Possi]

if the rent...

if the rent was never recorded as income, it cannot be deducted. It is a "natural" kind of loss, in that it was never received and never recorded as income.
Legal fees are deductible.
Anyone else?
~poss

[Gretel]

Loss of income is never deductible unless it was included in income previously.

Legal fees are deductible if incurred for income producing property.