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New Member
posted May 17, 2021 2:55:07 PM

I understand we need to claim the income from timeshare rental. Did not receive a 1099 and questions for rental property do not apply. What do I do?

We rented out our timeshare week through VRBO and they don't provide a 1099 under a certain dollar amount. The questions under rental property do not seem to apply i.e. percentage of the property owned. How do I proceed.

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6 Replies
Level 15
May 17, 2021 3:33:25 PM

Did you rent out the property for less than 15 days for the entire 2020 tax year?

 

New Member
May 17, 2021 4:38:09 PM

We rented it for one week

Level 15
May 17, 2021 4:42:21 PM

See IRS Topic 415 at https://www.irs.gov/taxtopics/tc415

Minimal Rental Use

There's a special rule if you use a dwelling unit as a residence and rent it for fewer than 15 days. In this case, don't report any of the rental income and don't deduct any expenses as rental expenses.

Level 15
May 17, 2021 5:56:50 PM


@Carl wrote:

There's a special rule if you use a dwelling unit as a residence and rent it for fewer than 15 days. In this case, don't report any of the rental income and don't deduct any expenses as rental expenses.


However, that rule can only be utilized if the owner uses the dwelling unit as a residence and, in order to use a dwelling unit as a residence, the owner has to use it for personal purposes for more than the greater of:

  1. 14 days, or
  2. 10% of the total days you rent it to others at a fair rental price.

 

In this case, it doesn't appear as if @ramanwaring used the unit for personal purposes at all, not even for one day. As a result, the special rule would not apply and @ramanwaring would have to report the income.

Returning Member
Mar 13, 2022 9:24:56 AM

 

Have 1099-misc for 5 day TIMESHARE rental and later used timeshare personally for more than 14 days so no taxes owed per your reply . How do I report it so I do not pay taxes on the 1099-misc box 1 rent ? TT  says not to use Schedule E for rentals less than 15 days.

Level 15
Mar 13, 2022 9:43:06 AM

You can either not report it at all or report it as miscellaneous income with an exact offset for the amount on the 1099-MISC.

 

The former would probably be preferable but could create a mismatch. If you are questioned, however, the response would be as simple as the fact that the rental (which was used as a dwelling) was for less than 15 days.