Reporting rental income on state return: Net or Gross?

[linyphia1515]

We have an out-of-state rental property. The rent is the only income we get from that state (Montana). When doing the Montana state return, of course it asks about the rental income. Do we enter net or gross income? The Gross is positive of course, the rent, but our net income on the property is negative due to expenses associated with the property. Thank you so much.

[Carl]

It's always gross rental income. Then your rental expenses will reduce the amount of that gross income that is taxable.