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cstarlin
New Member

Rental Property

We purchased a second home for my daughter and grandchildren to live in.  She only paid a small amount for rent not enough to carry the total expenses of the house or to care for the up keep we covered paid homeowners taxes, property insurance and flood insurance as well as anything else needed for the home i.e appliances, flooring etc.  We never reported the income on the home since we made no profit off the home, I assumed it did not need to be reported.  We have since sold the home and when filing the question was asked was this a rental property.  I want to be truthful, was it considered rental property and will, I now be audited by the IRS for back years, should I go back and amend, I have copies of all paid receipts, should I contact the IRS for answer   

 

Thank you, and help will be greatly appreciated made an appointment with the IRS, to discuss

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