My dad has 7 rentals and they keep him busy but at 73 yrs old hes slowing down. Two of them have fallen in disrepair and are vacant while he repairs them at a very slow pace. Meanwhile, he pays the utilities, mortgage, repair costs, and improvements.
In this case Im helping him catch up on taxes and this is for tax year 2021. Both properties were not rented to tenants at all for 2021. TT asks "was the rental rented all year and at a fair rental price? "
In this case do I just say rented all year and yes to the fair rental price? If I mark no, it goes into personal use which is not what he used it for. Also, there is a box for "not rented all year" If I check that box it states to consider removing it as a rental.
What do I do here? I want to deduct all the normal expenses since the unit is losing so much money.
