Thank you, Robert.
I have an additional question. I am including our new Airbnb's income/costs in our taxes. I don't think TT is handling the costs correctly. I think it is lacking in two dimensions.
1. The first issue is that some costs are purely attributable to the Airbnb, while some are related to both the Airbnb rental and our use of the space when it is not rented. TT handles this correctly for some costs, like advertising, which it attributes 100% to the Airbnb. However, there are other pure Airbnb costs that it prorates based on the number of days the space is rented and the number of days we used the space for personal use. An example is cleaning costs. We only pay to have the space cleaned if we are out of town when one guest leaves and before another arrives. If we are in town, we clean it ourselves and don't record any cost. So, while this cost is purely related to the rental, TT is prorating it, so that our tax forms only claim a portion as a rental cost. Why doesn't TT ask us if costs are purely rental versus shared rental/personal?
2. TT doesn't appear to prompt or ask about the size of the rental space as a fraction of the total space in our home. I think I am supposed to report some costs (e.g., utilities) prorated based on % OF AREA and based on the fraction of TIME split between rental/personal. TT does the TIME split. However, as TT leads us through the questions related to costs it doesn't tell/ask us about the area %, nor does it tell us which questions to answer with the full costs and which to answer with a fraction that is based on the area %. Clearly, there are some of each. The instructions you sent says I am to put my 1098 into the rental section and it will divide the costs between the rental costs and other deductions, so clearly those are to be the full costs - otherwise we wouldn't get the full deductions.
Please help me understand if I am missing something about how I am to use TT.
Thanks!
