I rented one out of the three rooms of my house so I'm using 33% to account for all other expenses (such as taxes, interest, etc.) for the house (e.g. 33% of those expenses go on schedule E while the remainder goes on schedule A). I'm not sure if I am supposed to carry over this logic when accountinf for depreciation. I'm also not sure if I need to account for depreciation at all. Turbo tax keeps referring to renting the room a 'business' but I personally don't think of what I'm doing as a business, nor am I officially set up as one, so I'm confused as to whether or not I'm interpreting elements of Schedule E correctly. For instance, it asks me if I've used the item 100% of the time for 'this business' since I acquired it. Technically, yes, I've rented out the room every day of my ownership of the home. However, because I'm renting out only one of three rooms, I'm not sure if I should instead say no (meaning I did not always use the property 100% of the time for the 'business') and indicate the percentage of time I used the item for 'business' as 33% given that I rented out a single room out of three.
I appreciate any guidance on this matter.
posted
last updated
April 08, 2025
7:05 PM
