Investors & landlords

Let's get this figured out one question at a time.

1. Report the income and then you can use miscellaneous or other expenses to report 'security deposit repayment' and 'processing fees'.
2. If you, by chance, entered the mortgage interest and real estate taxes in both places, TurboTax will not recognize that. To make sure the numbers come out correctly, enter the correct amount (personal use portion only) in your itemized deductions. If the rental expense portion is correct do not make changes there.
3. If you are not making a profit during the rental period because you are not charging fair rental value (FRV) then you should report it as you indicate. The instructions for a 'not-for-profit' rental are shown below for you. You only report income that is over and above your expenses in this scenario. In this scenario the mortgage interest and taxes would be fully used on your itemized deductions and not on the rental. 
4. You can delete your rental activity (Schedule E) using the link below for your TurboTax software. Do not do that if you believe  you are charging a FRV during the rental period.

You'll need to delete this form --------------------. 

• If you're using TurboTax Online software and need to delete a form, click here.
• If you're using TurboTax Desktop software and need to delete a form, click here.

Where to report. 

Report your not-for-profit rental income on Schedule 1 (Form 1040), line 8. If you itemize your deductions, include your mortgage interest and mortgage insurance premiums (if you use the property as your main home or second home), real estate taxes, and casualty losses from your not-for-profit rental activity when figuring the amount you can deduct on Schedule A.

Other Miscellaneous Income:

1. Sign into your TurboTax Online account
2. Go to Tax Home (left panel)  Wages and Income  section
3. Scroll to  Less Common Income > Select  Miscellaneous Income, 1099-A, 1099-C
4. Select Other reportable Income > Enter a description (----) and the amount