In 2023, I subleased 33% of my mobile home to a tenant for about $700/mo. At the time, I was making payments on the mobile home to a banking institution who owned the home, I believe it was technically considered a LEIN. The land was and is rented from the mobile home park and is not owned by me; they also cover water/sewage/internet.
Currently, I'm filing the income from the agreement as miscellaneous income. I tried filling it out as a rental property, but it was asking for cost basis information under the assumption that I owned both the home and the land, when at the time I owned neither (now I own the home as I've paid it off in full as of January). However, obviously since this is miscellaneous income, it's taxed at the maximum value and there are no deductions on it.
I would like to know if there is a more appropriate way to file this so that I am able to deduct expenses from it, such as the monthly mobile home fees, maintenance, electric/gas, etc. Worst case, I'll just file it as miscellaneous income.
