In the current year, Clara rented her apartment on AirBnb for 13 days. She received gross rental income of $3,100. Her expenses for the apartment are: - Operating expenses $4,000 - Depreciation $2,000 - Mortgage interest and Property taxes $4,000 - Utilities/repairs $2,000 Calculate the income and expenses reported for the rental activity. What will Clara report on her tax return for this rental activity? $3,100 income, $3,100 expenses $3,100 income, $0 expenses Clara will not report anything. $3,100 income; $12,000 expenses

Brittany purchased an industrial lot in Sudbury for $1,100,000 and it was assessed at 65% of its purchase price. The annual property tax on the lot is 25 mills. a. Calculate the assessed value of the lot. Round to the nearest cent b. Calculate the property tax she would have to pay every year. Round to the nearest cent

Tamar owns a condominium near Cocoa Beach in Florida. In 2022, she incurs the following expenses in connection with her condo: Insurance Advertising expense Mortgage interest Property taxes Repairs & maintenance Utilities Depreciation $ 1,080 670 4,650 1,320 1,180 1,130 10,500 During the year, Tamar rented out the condo for 96 days, receiving $26,500 of gross income. She personally used the condo for 44 days during her vacation. Tamar's itemized deduction for nonrental taxes is less than $10,000 by more than the property taxes allocated to the rental use of the property. Assume Tamar uses the Tax Court method of allocating expenses to rental use of the property. Assume 365 days in the current year. Note: Do not round apportionment ratio. Round all other dollar values to the nearest whole dollar amount. Required: a. What is the total amount of for AGI (rental) deductions Tamar may deduct in the current year related to the condo (assuming she itemizes deductions before considering…

Dorothie paid the following amounts during the current year: Interest on her home mortgage (pre-12/16/17) $9,250 Service charges on her checking account 48 Credit card interest 168 Auto loan interest 675 Interest from a home equity line of credit (HELOC) 2,300 Interest from a loan used to purchase stock 1,600 Credit investigation fee for loan 75 Dorothie's residence has a fair market value of $250,000. The mortgage is secured by the home at the time of purchase and has a balance of $180,000. Dorothie used the same home to secure her HELOC with a balance of $50,000. Dorothie used the proceeds of her HELOC to pay for college and to buy a new car. Dorothie has $1,000 of net investment income. Compute Dorothie's interest deduction in the following scenarios: a. Calculate Dorothie's interest deduction (on Schedule A) for 2021. b. Same as part a, and Dorothie used the HELOC proceeds to add a new bedroom to her home. c. Same as part a, but Dorothie's home is valued at $1,200,000 and her…

Sherry rents her vacation home for 6 months and lives in it for 6 months during the year. Her gross rental income during the year is $6,000. Total real estate taxes for the home are $2,200, and interest on the home mortgage is $4,000. Annual utilities and maintenance expenses total $2,000, and depreciation expense is $4,500. Calculate Sherry’s deductible depreciation, the net income or loss from the vacation home, and the loss carryforward, if any. Base allocation on number of months, rather than days. If your answer value is zero, enter "0." Line Item Description Amount Amount Rental income   6000 Expenses:       Real estate taxes 1100     Mortgage interest 2000     Utilities and maintenance 1000     Depreciation fill in the blank 5 fill in the blank 6      Net rental income   $fill in the blank 7      Loss carried forward to 2024   $fill in the blank 8

am. 117.

Cindy, who is self-employed, maintains an office in her home that comprises 10% (340 square feet) of total floor space. Gross income for her business is $54,650, and her residence expenses are as follows: Real property taxes $4,092 Interest on mortgage 6,820 Operating expenses 3,410 Depreciation (based on 10% business use) 8,075 a.  What is Cindy's office in the home deduction based on the regular method? b.  What is Cindy's office in the home deduction based on the simplified method?

Now that you are making the big bucks, your spouse has decided to venture into the rental property business. Your spouse purchases a rental house and after making some improvements it has a basis of $85,000. Your spouse places it in service as a calendar-year taxpayer during May and sells it in September, just over 4 years later. a. What is the MACRS-GDS property class?b. Determine the depreciation deduction during each of the years involved.c. Determine the unrecovered investment during each of the years involved.

Sally owns a rental house. Her house income is 1000 a month. The expenses for the year are as follows: mortgage interest 3600, property tax is 1545, property manager is 1200, insurance 400, cleaning and maintenance 600 repairs 55 and  depreciation 2000. What is Sally's net income loss from the rental property?

7. Annaliese Nuber insured the contents of her apartment for $22,500. The premium is S0.63 per S100 with a $750 deductible, Her personal property that is used away from home is insured at 10% of the policy's total coverage. Living expense coverage is 20% of the policy's total coverage. a. At what value is the personal property that she uses away from home insured? b. For what value is her living expense covered? c. What is the annual insurance premium that Annaliese pays?