MindyB
Employee Tax Expert

Investors & landlords

Under IRS Section 280A, commonly known as the "Augusta Rule", you are correct that because you rented the home for fewer than 15 days, the income is non-reportable and the associated rental expenses are non-deductible. Since the $120 isn't necessary to be reported, you should delete Schedule E for this property so that your mortgage interest and property taxes flow correctly to Schedule A as second home deductions.

 

See: 10 Tax Tips for Airbnb, HomeAway & VRBO Vacation Rentals for information you may find helpful regarding the 14-day Rule.

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