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vechinsj
New Member

If I allow a tenant to provide lawn mowing service for my duplex in exchange for a discount on his rent, is that considered an "expense" that I can deduct?

Would it be better for me to charge the "full" rent and pay my tenant as a separate transaction for this service?
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Ashby
New Member

If I allow a tenant to provide lawn mowing service for my duplex in exchange for a discount on his rent, is that considered an "expense" that I can deduct?

It is a much cleaner transaction if you charge the full amount and pay him.

You will not run the risk of looking like you are charging a less than fair market value rent. Also, if you reduce the rent, you don't show a full picture of cash flow for selling or financing purposes.

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1 Reply
Ashby
New Member

If I allow a tenant to provide lawn mowing service for my duplex in exchange for a discount on his rent, is that considered an "expense" that I can deduct?

It is a much cleaner transaction if you charge the full amount and pay him.

You will not run the risk of looking like you are charging a less than fair market value rent. Also, if you reduce the rent, you don't show a full picture of cash flow for selling or financing purposes.

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