@Carl wrote:
Do you rent to family at below FMRV? If so and you indicated so in the program, then carry over losses are just flat out not allowed. Once your deductable rental expenses get your taxable rental income to zero, that's it. You lose remaining losses permanently and forever and they can't be carried over.
If an owner rents to a family member at below fair rental value, each day counts as a day of personal use. Typical rental expenses (e.g., utilities, maintenance, repairs, insurance) are not deductible.
The owner can, at best, deduct mortgage interest (subject to limitations), property taxes (subject to limitations), and casualty losses on Schedule A.
