Go to the Federal section in TurboTax. Select Income expenses Select Rental Properties Royalties (Sch. E.) Answer the questions relating to your property until you see the screen which says Do Any of These Situations Apply to This Property . Under the Rental section,check the box where it says I rent out part of my home.
People also ask
What happens if you rent out part of Your House?
Renting Out Part of Your Home: The Tax Implications. If you rent part of your property, you must divide certain expenses between the part of the property used for rental purposes and the part of the property used for personal purposes, as though you actually had two separate pieces of property.
Is it easy to rent out a house?
Renting out your home can be a lucrative business if you do it right. That includes getting fully acquainted with landlord, property and tax laws. You also want to avoid handing the keys to the wrong person. A team of professionals ?lawyers, accountants, real estate agents ?can make the whole process easier.
How do I rent out a room in my house?
Make sure that local laws and zoning permits allow you to rent out a room in your house; some cities or HOAs have restrictions on anyone that is not family living at the property. 2. Make sure that the room is set-up properly for rental, including any required safety features such as an egress window or a fire extinguisher as needed.
What expenses can I deduct when partially renting my home?
However, deducting expenses for partially renting your home can be a bit trickier. You must split any expenses ?mortgage interest, mortgage insurance premiums, and real estate taxes ?between the rented portion of your home and the unrented part.