Hi Team
My husband and I own two small flats in the UK. I just moved to US and my husband stays in the UK. We own two small flats directly. I fill in the tax separatedly and my husband doesnt have any tax relationship in the US. I have a few questions.
1. Because my husband is in the UK and I will visit him frequently. We do not rent them out temporialry. I assume I do not need to report anything about these two flats to IRS, including Fbar, 8938. Is it correct?
2. When my husband moves to US, I guess we may rent them out. If we plan to rent them out, I assume we need to include it to 1040. I think I do not need to report it to Fbar and 8938 as well. Is it correct?
3. May I ask how to calculate the profit? I assume (rent income - service charge fees from the building - ground rent from the landlord - renting agency fees - mortage interests)/2 for each of us. Does my deductable items correct or anything more? And I assume I can also claim back the tax paid to UK government?
Thanks.
