Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
deejaymrnd08
New Member

I own a two-family house. I am occupying the second floor and renting out the first floor. Where should i put the rent income for the first floor?

 
2 Replies
Critter
Level 15

I own a two-family house. I am occupying the second floor and renting out the first floor. Where should i put the rent income for the first floor?

All income and expense for the duplex are entered on the Sch E ... do NOT say you use the rental personally because you do not live in the rental unit and make sure to prorate the common building expenses correctly.  Follow the interview screens and remember you must take depreciation.  

 

You are posting from TurboTax Live.  You can arrange for the Live help you are paying the extra fee for with your questions …

https://ttlc.intuit.com/questions/4124827-how-do-i-connect-with-a-tax-expert-in-turbotax-live

ReginaM
Expert Alumni

I own a two-family house. I am occupying the second floor and renting out the first floor. Where should i put the rent income for the first floor?

Residential rental activities are reported under Rental Properties in Wages & Income and appear on Schedule E as part of your tax return.

 

You can find Schedule E in TurboTax by using the Search box at the top right side of the TurboTax header.  Enter "schedule e", hit Enter, then click "jump to schedule e". This will take you directly to the start of this section.  Or go to My Account >> Tools >> Topic Search. Type in "schedule e", then click the topic in the list.

 

Since you are renting part of your home, you must divide certain expenses between the part of the house used for rental purposes and the part of the property used for personal purposes, as though you actually had two separate pieces of property. 

 

You do not have to divide the expenses that belong only to the rental part of your property.

You can use any reasonable method for dividing the expense. The most common methods for dividing an expense are based on the number of rooms in your home or based on the square footage of your home.

 

For more information on what expenses you are allowed to deduct, here is a link to the IRS  Schedule E Instructions  for rental properties, and to Publication 527, Rental Properties which will give you some great guidance.  

 

Should you have any specific questions on these rental properties, simply respond to this thread.  

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
Dynamic AdsDynamic Ads
Privacy Settings
v