Rental Income


Rental Income

Groups | Search | About

User Password

Lost Password?

Taxes General Forum - Tax professionals meeting place and answers to queries. (Moderated)

get this group's latest topics as an RSS feed

add this group's latest topics to your My MSN content

add this group's latest topics to your My Yahoo content

add this group's latest topics to your Google content

Yahoo!

Google

Windows Live

del.icio.us digg

digg

Netscape

Subject

Author

Date

Rental Income

Vijay Sharma

03-11-2008

Phil Marti

Vijay Sharma

D. Stussy

Vijay Sharma

Phil Marti

Harlan Lunsford

Posted by Vijay Sharma on March 11, 2008, 11:59 pm

Please log in for more thread options

I have a personal tax preparation question.

I own a rental home with my mom who lives with us. I file married
filing jointly (with my wife). My mom is 71 and gets less than $300 a
month in social security.

She gets $7,700 in rent and I keep around $4,000 annually because she
put a larger down payment than I did although I pay mortgage and all
the expenses and I manage the rental house - this is all mutually
agreed upon.

I realize that it would be beneficial if I do NOT show her as a
dependent because if I do then she has to file a tax return since the
requirement for filing for a dependent 65 years or over and Single
according to my calculation comes to only around $2,300 of gross
income. She did have some $2,200 in interest money earned as well.

So with rent income of $7,700 and interest income of $2,200, am I
correct that she does NOT have to file a tax return because the
requirement for filing a tax return for over 65 years and Single is
$10,050 if she is not a dependent of mine? I assume her around $3,600
of social security would not factor in, correct?

If I show a small share of rent on my tax return compared to her -
$4,000 to her $7,700 while me picking up all rental expenses, will
that raise questions by the IRS or State?

Thanks in advance for your help.

--
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2007) - All rights reserved. >>
<< ------------------------------------------------------- >>

Posted by Phil Marti on March 12, 2008, 1:46 am

Please log in for more thread options

"Vijay Sharma" wrote:

> I own a rental home with my mom who lives with us. I file married

> filing jointly (with my wife). My mom is 71 and gets less than $300 a

> month in social security.

> She gets $7,700 in rent and I keep around $4,000 annually because she

> put a larger down payment than I did although I pay mortgage and all

> the expenses and I manage the rental house - this is all mutually

> agreed upon.

> I realize that it would be beneficial if I do NOT show her as a

> dependent

You cannot claim her as a dependent. She has too much gross income,
assuming your numbers are correct. See IRS Publication 501, which also
discusses her filing requirement, if any.

--
Phil Marti
Clarksburg, MD

--
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2007) - All rights reserved. >>
<< ------------------------------------------------------- >>

Posted by Vijay Sharma on March 13, 2008, 11:25 pm

Please log in for more thread options

> "Vijay Sharma" wrote:

> > I own a rental home with my mom who lives with us. I file married

> > filing jointly (with my wife). My mom is 71 and gets less than $300 a

> > month in social security.

> > She gets $7,700 in rent and I keep around $4,000 annually because she

> > put a larger down payment than I did although I pay mortgage and all

> > the expenses and I manage the rental house - this is all mutually

> > agreed upon.

> > I realize that it would be beneficial if I do NOT show her as a

> > dependent

> You cannot claim her as a dependent. She has too much gross income,

> assuming your numbers are correct. See IRS Publication 501, which also

> discusses her filing requirement, if any.

> --

> Phil Marti

> Clarksburg, MD

> --

> << ------------------------------------------------------- >>

> << The foregoing was not intended or written to be used, >>

> << nor can it used, for the purpose of avoiding penalties >>

> << that may be imposed upon the taxpayer. >>

> << >>

> << The Charter and the Guidelines for submitting posts >>

> << to this newsgroup as well as our anti-spamming policy >>

> << are atwww.asktax.org. >>

> << ------------------------------------------------------- >>

I did not get much response on this. So please can some of you reply
to my questions? I would really appreciate.

Thanks.

========================================= MODERATOR'S COMMENT:
Please delete all unnecessary parts of the prior post when responding.

--
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2007) - All rights reserved. >>
<< ------------------------------------------------------- >>

Posted by D. Stussy on March 14, 2008, 1:27 am

Please log in for more thread options

> > "Vijay Sharma" wrote:

> > > I own a rental home with my mom who lives with us. I file married

> > > filing jointly (with my wife). My mom is 71 and gets less than $300 a

> > > month in social security.

> >

> > > She gets $7,700 in rent and I keep around $4,000 annually because she

> > > put a larger down payment than I did although I pay mortgage and all

> > > the expenses and I manage the rental house - this is all mutually

> > > agreed upon.

> >

> > > I realize that it would be beneficial if I do NOT show her as a

> > > dependent

> >

> > You cannot claim her as a dependent. She has too much gross income,

> > assuming your numbers are correct. See IRS Publication 501, which also

> > discusses her filing requirement, if any.

> I did not get much response on this. So please can some of you reply

> to my questions? I would really appreciate.

If the first reply is substantially correct, why should the rest of us
bother with it? You have your answer.

--
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2007) - All rights reserved. >>
<< ------------------------------------------------------- >>

Posted by Vijay Sharma on March 14, 2008, 10:46 am

Please log in for more thread options

> > > "Vijay Sharma" wrote:

> > > > I own a rental home with my mom who lives with us. I file married

> > > > filing jointly (with my wife). My mom is 71 and gets less than $300 a

> > > > month in social security.

> > > > She gets $7,700 in rent and I keep around $4,000 annually because she

> > > > put a larger down payment than I did although I pay mortgage and all

> > > > the expenses and I manage the rental house - this is all mutually

> > > > agreed upon.

> > > > I realize that it would be beneficial if I do NOT show her as a

> > > > dependent

> > > You cannot claim her as a dependent. She has too much gross income,

> > > assuming your numbers are correct. See IRS Publication 501, which also

> > > discusses her filing requirement, if any.

> > I did not get much response on this. So please can some of you reply

> > to my questions? I would really appreciate.

> If the first reply is substantially correct, why should the rest of us

> bother with it? You have your answer.

> --

> << ------------------------------------------------------- >>

> << The foregoing was not intended or written to be used, >>

> << nor can it used, for the purpose of avoiding penalties >>

> << that may be imposed upon the taxpayer. >>

> << >>

> << The Charter and the Guidelines for submitting posts >>

> << to this newsgroup as well as our anti-spamming policy >>

> << are atwww.asktax.org. >>

> << ------------------------------------------------------- >>

My last two questions have not been answered as to whether social
security income is part of gross income in determing whether she
should file a tax return or not and the question about me claiming
100% of expenses and yet reporting only 34% of rental income.

Thanks.

========================================= MODERATOR'S COMMENT:
Please delete all unnecessary material from the prior post when responding.

--
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2007) - All rights reserved. >>
<< ------------------------------------------------------- >>

Similar Threads	Posted
rental income + rental mortgage + rental mortgage interest - dazed /confused	April 11, 2006, 3:50 am
Rental Income	February 5, 2007, 1:51 am
Rental income glitch	March 11, 2007, 4:09 am
Not reporting rental income	July 28, 2007, 2:28 am
Rental income question	October 19, 2007, 10:20 pm
Rental income and loss question	June 8, 2007, 1:22 pm
Re: Converting Rental to Non-Rental	March 23, 2008, 9:50 am
Should two states income on W2 sum to Federal Gross Income ?	April 9, 2008, 2:23 pm
ReFi of Rental	March 19, 2007, 2:42 am
vacant rental	March 26, 2007, 11:54 am

Contact Us | Privacy Policy
This site is not affiliated with Intuit - makers of Quickbooks and Quicken software
This site is not affiliated with Sage Software - makers of Peachtree accounting software

XML Sitemap