Alicia and Marie own a vacation home at the beach. During the year, they rented the house for 42 days (6 weeks) at $890 per week and used it for personal use for 58 days. The total costs of maintaining the home are as follows: Mortgage interest Property taxes Insurance Utilities Repairs Depreciation Required: a. What is the proper tax treatment of this information on their tax return using the Tax Court method? Note: Use 365 days in a year. Round your intermediate computations to 5 decimal places and final answers to nearest whole dollar value. Income Mortgage interest Property taxes surance Utilities Repairs Depreciation Net income $ 4,200 700 1,200 3,200 1,900 5,500 x Answer is not complete. Schedule A S Schedule E 5,340✔ 1,900 x 3.440 1,900 x

Alicia and Marie own a vacation home at the beach. During the year, they rented the house for 42 days (6 weeks) at $890 per week and used it for personal use for 58 days. The total costs of maintaining the home are as follows: Mortgage interest Property taxes Insurance Utilities Repairs Depreciation Required: a. What is the proper tax treatment of this information on their tax return using the Tax Court method? Note: Use 365 days in a year. Round your intermediate computations to 5 decimal places and final answers to nearest whole dollar value. Income Mortgage interest Property taxes surance Utilities Repairs Depreciation Net income $ 4,200 700 1,200 3,200 1,900 5,500 x Answer is not complete. Schedule A S Schedule E 5,340✔ 1,900 x 3.440 1,900 x

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter5: Introduction To Business Expenses

Section: Chapter Questions

Problem 54P

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