Jjone
New Member

Do I pay income taxes for renting a home at less than fair market value?

I am moving to another state for 2 years for a job with the intent of moving back into my house after that time. We currently pay a mortgage on the house. We are planning on having a friend move in and will be charging significantly less than similar housing in our area and in fact it does not even cover our full monthly mortgage payment. 

I just want to make sure that this is not actually going to cost us more money. Will I be taxed on the "income" that I am earning from my friend even though it isn't a net positive?