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Investors & landlords
If the property is classified as a rental for the entire tax year (all 365 days of it) then there's really nothing to "change" per-se. You enter the number of personal use days and the number of business use days, and the program will allocate accordingly.
If the property is ***NOT*** classified as a rental for the entire tax year, then things are different. For example, if it's classified as a rental from Jan 1 thru Jun 30, and there is no personal use during that time, then the business use percentage is ONE HUNDRED PERCENT. You only enter expenses incurrred during that time and those expenses are ONE HUNDRED PERCENT deductible as rental expenses.
For this scenario, you have 182 business use days and ZERO days of personal use.
‎September 24, 2021
2:28 PM
4,597 Views