Have a client that does hot shot work. He owns his truck and rents it to a trucking company.He received a 1099 Mics with 18855.85 as rents and 1367.93 as nonemployee comp. If i put the 18855.85 on line 21 as personal property rental how is all the expenses used. If I use the expenses on Sch C against the 1367.93 there would be a huge loss. Can the 18855.85 be used on Sch C or will it have to be on line 21 as other income.
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Rents received in the course of a business
In which the taxpayer is a material participant are subject to SE tax. I would list the rents on the Other income (Line 6) of the Schedule C.In other words, a democratic government is the only one in which those who vote for a tax can escape the obligation to pay it.
Alexis de Tocqueville -
Ppr
If you put PPR on line 21 then the expenses go on Sch A sublect to the 2% reduction.Confucius say:
He who sits on tack is better off.Comment
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A Recent Example Example
I just did a return and after careful consideration of all factors decided to use Sch C for my client. Regardless of the way you report it he pays SE tax on it. You can deduct expenses fully by using Sch C.Comment
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