I own a house with my family (my portion is 25%) that we lease annually at $2000/month. This year I leased it for the year and am paying the $2000 to the joint family account and I am short-term renting it on Airbnb. So assuming I make income above the $2000 a month I am paying - how do I account for this? Historically I took 25% of the depreciation/mortgage interest deductions on Schedule E. Do I still take these? Do I subtract the $2000 rent I am paying from the short term rental income - even though 25% of the rent I'm paying is actually mine? Or should I do one Schedule E where I do the $500/month income (for my 25% portion of the $2000/month) along with the depreciation/mortgage interest deduction and a separate Schedule E for the same property where I account for it as an Airbnb where I am paying $1500/month in rent (removing the $500/month that is mine) and include all of the other Airbnb expenses I incur.?
