Hello
Need some advice. My dad sold investment property in Florida. The net proceeds went into a 1031 exchange company. We have identified a new property and him /I are reinvesting into a new property in South Carolina as rental also. I will take an equity loan from my primary residence to make up the difference of the purchase price. The house will be paid for at that point.
On my next years' taxes:
1. Will I be able to claim deductions for property taxes, insurance, maintenance, depreciation etc. costa associated with the property.
2. The rent from this property will generate some profit that my dad will take as income because he only receives social security (minimal amount per year). Will I have to include that as 1099 for him at the end?
and if yeas he will have to claim that as additional to his social security when he files.
Just trying for the best to work out legitimately
Thank you
