Background Information:
1) I own a duplex. I live in one half, and rent the other.
2) For the 2022 tax year, my beau (not yet husband) "rented" (at a "fair rental price") the rental half of my duplex to use as an occasional workspace. (He never ended up using it.) FWIW, we weren't (and still don't) co-habitate. He has his own house.
3) Beau and I married in April, 2022. Yay! According to tax law, we're considered married the whole year, which means my husband was paying me rent.
4) In Dec, I finally convinced my once-beau-now-husband that our rental arrangement was financial nonsense, and I got a real tenant. Said real tenant rented for 13 days at the end of the year (and on into 2023). So, the "real" tenant rented the property. approximately 4% of year.
Questions:
1) I don't claim rent I rec'd from my spouse, as income right? That would seem weird, because then that portion of money is taxed twice: one as his income, then again as my income. If the answer is "no, you don't count this as rental income," proceed to next question!
2) I'm calling that half of the duplex vacant for all but those 13 days/4% in point 4. My beau didn't use it for any purpose (if he HAD used it, it would have been for business, not personal use), it was never furnished, the water was nearly always turned off unless it was being cleaned, and I never used the space. Am I correct?
2) If I AM correct in Question 1, do I have to then only use 4% of my expenses (mortgage, depreciation, water bill, etc.?) vs. claiming expenses as I have done in those years when I had a "regular" tenant?
Please note: I am NOT NOT asking if TT will do this automagically. I am asking if I use all the associated expenses or only 4% of them. I have always calculated the rental % of expenses that apply to entire property myself ( ie, % of total duplex rented) myself, for other reasons.
Thank you!
Paula
