介绍

首先,Rental Income一般是申报在Schedule E上面。有几处出租房产就要申报几份Schedule E。在其中一份Schedule E中汇总所有房产的收入和亏损。如果某处房产的亏损过大,可能无法全额抵扣,具体就按照Schedule E表格进行计算。房客预付的房租应在收到之后包括在当年的收入中,无论你是采用何种会计核算方法,cash basis or accrual basis.

详细

请参阅 Pub. 527 Residential Rental Property

 

Income from rental properties is reported on Schedule E. Property owners are subject to income tax only on the net amount of rental income after various rental-related expenses have been taken into account. Here’s some tips for preparing a Schedule E a little more understandable.

It’s first helpful to have a summary of rental income and expenses. Income and expenses should be separated out for each property if you have more than one property to report. Expenses should be categorized to match the line items found on Schedule E. Any expenses that don’t fit neatly into one of the categories pre-printed on the Schedule E can be written in separately. I create additional expense categories for homeowner’s association dues, sheriff’s fees for evictions, security service or any other type of expense that doesn’t logically fit the categories listed.

You could collate this information on paper, or by using any number of financial software programs. Some of my clients have successfully used Quicken Property Manager for keeping track of their rentals, while others prefer to rely on Excel spreadsheets. The main point is that having your income and expenses organized ahead of time makes preparing the Schedule E much easier, whether you’re filling out the form by hand or using tax software.

Higher income persons may find that any losses on their rental properties are limited by the passive activity loss limitation rules. This rule limits the amount of rental losses that are currently deductible against your other income to $25,000 if your other income totals $100,000 or less; offers a prorated loss if your other income falls between $100,000 and $150,000; and provides for no immediate tax deduction of the loss if your other income is $150,000 or more. Rental losses that are limited by the passive activity rules aren’t completely eliminated however. Any unused rental losses carry forward to the following year where they function to offset any positive rental income. Unused rental losses carryforward like this year after year until either absorbed by rental income or become deducted in full when the property is sold.

There’s some new questions found on the 2011 version of Schedule E. At the very top of the form, you’ll notice questions A and B, which ask if you’re required to issue any 1099-MISC forms. This particular question was relevant prior to the repeal of the expanded 1099 reporting for landlords. Property owners are not required to issue Form 1099-MISC to report payments for services or goods. Accordingly, property owners can safely answer “no” to question A and skip question B.

Notice also next to line 1, the IRS asks what type of property is being described. Taxpayers will use a numeric code to indicate whether the property was a single-family residence, a multi-family residence, vacation rental, commercial rental, unimproved land, royalties, self-rental or some other type of property.

There’s also a new line item 2, which asks how many days a property was rented out and how many days the property was used for personal use. I’m actually really glad this information is on the Schedule E, as it greatly facilitates prorating expenses in the case where a property was used part of the year as a rental and part of their year as a personal residence.

The IRS also asks a new question on line 3a about income reported on Form 1099-K, which relates to sales by credit or debit cards. For 2011, the IRS is instructing us to ignore this line and report total rental income directly on line 3b.

At the bottom of the Schedule E, the IRS now asks us to perform subtotals for various line items for all properties on line 23 before moving onto the grand totals on lines 24, 25, and 26.

Comments

(1) Santa says:
William,
This article is really a godsend for me…as I am first time tax filer as landlord and filing my own taxes as always.. I am doing lot of reading and going through this on IRS website and the way you have explained the basics here are really useful for novice like me….
The only thing that is not yet clear to me on the depreciation piece.. It talks about land value and building value and how one can be while other cannot be depreciated. But say if I bought a condo for 100K and the assessed value is @ 75/25 split… I can say value of my structure is 75K and land is 25K.. but then 75K also includes the value of appliances which have different life expectancy vs the structure itself. So how do we deal with this? or you simply take 75K as is and any new appliances you add you can then start to depreciate then as and when you purchase them.
It will be worth while if you can put a article covering that subject related to rental properties and show a worked example.
Again appreciate the excellent work you have done in this article.
Regards
Santa.

March 15, 2012 at 9:51 pm(2) James says:
Excellent article! Exactly answered my question.

March 22, 2012 at 5:56 pm(3) Dorothy LeClair says:
I am in the middle of a divorce and filing married individual. How do we split the rental income & expenses? H&R Block told my to be ex that this cannot be done.

March 23, 2012 at 12:56 pm(4) William Perez says:
Dorothy, how have you agreed to split the rental income and expenses? If you haven’t agreed on a method of allocation, here are some factors to consider. Who owns the property (“on title”)? Do you live in a community property state? Do you have a separate property agreement? Essentially, the rental income and expenses will go to the person or persons who own the property, either in fact (“on title”) or by force of law (community property). How to make this allocation depends on the circumstances. In a community property state, we’ll split the rental income and expenses 50-50. In a non-community-property state, we’ll allocate based on ownership percentages (who owns what percentage of the property). See, for example, the all-too-brief one-line instruction in Publication 527, chapter 1, and scroll or control-F to find “Part interest,” where it reads “Part interest. If you own a part interest in rental property, report your percentage of the rental income from the property.”
(5) Bill says:
On 2010 and older Schedule E forms, if you had more than 3 rental properties (for example 4 rental properties), you could elect to just fill in the totals sections. On the current 2011 year Schedule E, can I just fill out lines 23 through 26? Or do I have to enumerate every expense from lines 3 through 22 for all 4 rental properties?

April 14, 2012 at 7:50 pm(6) William Perez says:
From the IRS’s instructions for Schedule E, “If you have more than three rental real estate or royalty properties, complete and attach as many Schedules E as you need to list them. But fill in lines 23a through 26 on only one Schedule E. The figures on lines 23a through 26 on that Schedule E should be the combined totals for all properties reported on your Schedules E. If you are also using page 2 of Schedule E, use the same Schedule E on which you entered the combined totals for Part I. “

April 16, 2012 at 7:22 pm(7) Debra says:
How do you calculate number of fair rental days and personal days when you own a multi-unit building and you (owner) lives in one of the units (all other units are rented)?

July 14, 2012 at 9:50 pm(8) Asok says:
you have NOT explained how and where do we state the amount of carryover loss, especially if it is cumulative?

July 27, 2012 at 1:14 am(9) Joe says:
If I take out a mortgage on my primary residence and use the money to pay off the mortgage on my rental property can I still deduct the mortgage interest on Schedule E for the rental property or would I only be able to deduct the interest for the new mortgage as an itemized deduction on my form 1040 Schedule A? (I know I can’t deduct it both places).

August 5, 2012 at 6:03 pm(10) JB says:
If I use my rental for 12 days and it is available for rent for the remaining 353 days are those the 2 figures I use to allocated personal use? Or would I use the actual day rented for the allocation?

November 15, 2012 at 11:29 am(11) Mike says:
if I own a home and rent it out will i have to pay taxes on that income??? I want to show that I have income from this home, but dont want to lose money for reporting this..