How do I deduct expenses associated with renting out my basement to a business?
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How do I deduct expenses associated with renting out my basement to a business?

I receive rental income for the space but where do I deduct this share of home utilities, insurance, etc. ?
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How do I deduct expenses associated with renting out my basement to a business?

Mortgage interest, property taxes, utilities, and insurance are divided between personal (Schedule A, itemized deductions) and rental use (Schedule E) , proportional to the number of days used for each.

Type in rental property in the search box, top right of your screen, then click the magnifying glass

· Click the jump to rental property link in the search results.

· Follow the onscreen instructions

· Navigate to the Rental Summary page

· Scroll down the Expenses category, click Start or Update

· Navigate to the Enter Common Expenses, page

· Click Continue

· Arrive at the Report Mortgage Interest page, follow the online instructions from there



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