This IRS course on Mixed Use Rentals provides a comprehensive overview of the federal tax rules and reporting requirements applicable to properties that are used both as a personal residence and as a rental property. The course covers the definition of mixed use property, the tax treatment of income and expenses, the allocation of expenses between personal and rental use, depreciation rules, and the limitations on deductions. Special attention is given to vacation homes, duplexes, and other common mixed-use scenarios.
Bonus Material: Will discuss tax rules and reporting requirements for rental arrangements involving both real property (such as land or buildings) and personal property (such as furniture, appliances, or equipment) leased together.
Learning Objectives:
- Define mixed use rental property
- Identify and apply rules for dividing expenses
- Apply rules for depreciation
- Explain vacation home rules
- Analyze compliance issues
- Clarify Passive Loss guidelines
