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glenn, gaytor's brother, owns a lake home (vacation home). during the year he rented the home for $4,000 for 2 weeks, lived in the home for 3 months, and left the home vacant during the remainder of the year. the expenses for the lake home included $15,000 in mortgage interest, $7,000 in property taxes, $12,100 in utilities and maintenance, and $13,000 in depreciation.

Is this home used primarily for personal use, rental use, or a combination? What income does he need to report, and what deductions can he claim? What are examples of specific changes that would make this fit into each of the other two categories?,

See pink chart #2. Discuss the various residential-related expenses using some expenses noted above. Let's assume the above is the expense of your only home. Discuss whether this expense is deductible, and how to record the deductions in the tax return, and rank based on its advantageous in terms of tax deductibility. What other more info that you need to ask?

(a) You are a W-2 wage earner working remote (at home).

(b) You are an 1099 independent contractor working as an outsourced accountant.

(c) You live in the house and you also have a rental house. You have no other income source (other than being a landlord and living off your savings during this leap year).

What advise on tax planning (in relation to the residential expenses) will you be able to offer to yourself when you move out of your parents house on the first time and live in your rental (or your first home)!

Deductible ? (Y or N) W-2 wage earner 1099 Self-Employed Rental House 1. $11,000 Mortgage Interest2. $12,000 property tax 3. $3,333 utilities and maintenance (gardening; cleaning; etc)4. $14,000 depreciationA. Report these expenses in (Form / Schedule Name / line in 1040 (is it before/after AGI?)B. Rank the tax advantageous of these expenses (1st, 2nd, 3rd)C. Analysis & What other clarification you might need to determine its deductibility? .

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