@sethornton51 , for filling out schedule-E ) Rental income etc., you use gross rental income as the gross income. Thus if your property was rented or was available for rent that result in Zero rent for a period , you still use ONLY actual received rent for the year. This , even without considering depreciation , may result in negative income ( LOSS). As a actively involved ( and not a realestate professional), the Passive Activity Loss is limited to 25,000 per year -- that will reduce your ordinary income and therefore taxable income.
Does this answer your question or am i being off the mark ?
