In 2020, Joan Cannon incurred the following expenses relating to her vacation home: Mortgage interest $6,000 Property taxes 4,000 Utility expenses 4,000 Depreciation 6,000 Total expenses $20,000   During 2020, Joan personally used the vacation home for 20 days. Determine the rental expense deduction that she is entitled to claim on her 2020 tax return in each of the following cases. Use the Tax Court method of allocating normal expenses allowable to all taxpayers.     Joan rents out the vacation home for 10 days during the year and receives $800 in rental income.     Joan rents out the vacation home for 30 days during the year and receives $1,500 in rental income.     Joan rents out the vacation home for 230 days during the year and receives $9,000 in rental income.

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Fringe Benefit Tax

Fringe benefits are in addition to the compensation that companies give to their employees. It is an additional benefit above the stated salary. It helps to keep the employees of the firm motivated as sometimes the only salary is not enough to retain the quality employees of the firm. There are different types of fringe benefits. Fringe benefits are given in both private as well as public enterprises.