Comments on: Taxes – I Own A Home Which Is Rented Out. How Can I Get The Biggest Tax Break?

By: J M

J M — Sun, 19 Jul 2009 23:20:50 +0000

i don’t understand why you have to charge less then your mortgage? for this year i don’t know, HR Block are set up to help you with this. that is who we went thru when we had rentals. but for the next year you might consider raising the rent or refinancing so that your payments could be lower. at the very least i always wanted to break even. so that someone else was always paying the houses off for me.

By: sunflare

sunflare — Sun, 19 Jul 2009 17:04:09 +0000

U are paying the bank for the house and getting rent that would cover some taxes for the house.
check out…..http://www.taxes.com

By: Ski_Bum

Ski_Bum — Sun, 19 Jul 2009 16:10:59 +0000

I would disagree with you that you are getting penalized for this. For you still are receiving 1375 dollars a month so there is some income and not reporting this would be tax evasion.

By: Norm

Norm — Sun, 19 Jul 2009 13:50:04 +0000

No, you have to report the rent as income.
The taxes and interest are both deductible and don’t forget you can take a depreciation deduction for the house. That will be worth several thousand dollars.
Since this is new to you it would be worth getting professional help on your return.