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SA4
New Member

I have 2 rental properties, but one of them is occupied by relatives (throughout 2016) and they dont pay rent. Can I take tax credit for the mortgage interest and property taxes?

 
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Anita01
New Member

I have 2 rental properties, but one of them is occupied by relatives (throughout 2016) and they dont pay rent. Can I take tax credit for the mortgage interest and property taxes?

You would have to go into the rental income section and say the property was disposed of, and choose converted to personal use.  Then you would need to edit each asset to enter the date converted to personal use in order to stop the depreciation.  Since this was personal use all year, you could not take any expenses for the rental in the rental section.  You could deduct mortgage interest and property tax under Deductions and credits as a second home.

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2 Replies
Anita01
New Member

I have 2 rental properties, but one of them is occupied by relatives (throughout 2016) and they dont pay rent. Can I take tax credit for the mortgage interest and property taxes?

You would have to go into the rental income section and say the property was disposed of, and choose converted to personal use.  Then you would need to edit each asset to enter the date converted to personal use in order to stop the depreciation.  Since this was personal use all year, you could not take any expenses for the rental in the rental section.  You could deduct mortgage interest and property tax under Deductions and credits as a second home.

SA4
New Member

I have 2 rental properties, but one of them is occupied by relatives (throughout 2016) and they dont pay rent. Can I take tax credit for the mortgage interest and property taxes?

Thank you!
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