Not for profit

[GerryS1948]

Our not for profit rental isn't generating enough income to cover monthly costs.  We have an income slightly over $150,000 & cannot deduct the expenses. Can I change the designation to a for profit status? Cannot increase rent or evict since it was purchased for PTSD son and family.  We are paying taxes, insurance & repairs.

[tagteam]

If you intend to make a profit, are renting to unrelated parties, and are a fair rental price, there is no reason you cannot report the rental on Schedule E.

[Critter-3 · Accepted solution]

Sorry ... you just  have a second home where family lives and helps to pay some of the costs ... nothing to deduct on a tax return except the RE taxes and Mortgage Interest on the Sch A if you can.  

[tagteam]

I agree with @Critter-3 if you are renting to your son at below fair rental; you have a second home.