Question: I am unsure on how to answer How does Kim report the income and deductions from the property? During 2019, Kim incurs the following expenses
I am unsure on how to answer "How does Kim report the income and deductions from the property?"


During 2019, Kim incurs the following expenses with respect to her beachfront condominium in Hawaii: (Click the icon to view the data.) During 2019, Kim used the condominium 20 days for vacation. She rented it out for a total of 60 days, generating a total gross income of $9,100. Read the requirements. Requirement a. What are the total amounts of deductions for and from AGI that Kim may take during 2019 with respect to the condominium using the IRS allocation method? (For purposes of this problem, use the allocation formula set forth by Sec. 280A. Enter "O for zero amounts.) Item For AGI From AGI Insurance 375 $ 0 525 0 Repairs and maintenance Interest on mortgage Property taxes 2,250 750 750 250 Utilities 600 4,600 Depreciation 9,100 $ 1,000 Total deductions Requirement b. What is the effect on the basis of the condominium? The basis of the condominium is decreased by $4,600. During the current year, Kim incurs the following expenses with respect to her beachfront condominium in Hawaii: (Click the icon to view the data.) During 2019, Kim used the condominium 20 days for vacation. She rented it out for a total of 14 days during the year, generating a total gross income of $9,100. Requirement How does Kim report the income and deductions from the property? Kim Since the condominium was rented for fewer than 15 days, and Kim used the condominium over 14 days during the year for personal purposes, it qualifies as primarily personal. Thus, Kim will report no income or deductions from the property. may deduct the property taxes from AGI, and if Kim chooses the condominium as her rental business, she also can deduct the interest for AGI. During 2019, Kim incurs the following expenses with respect to her beachfront condominium in Hawaii: (Click the icon to view the data.) During 2019, Kim used the condominium 20 days for vacation. She rented it out for a total of 60 days, generating a total gross income of $9,100. Read the requirements. Requirement a. What are the total amounts of deductions for and from AGI that Kim may take during 2019 with respect to the condominium using the IRS allocation method? (For purposes of this problem, use the allocation formula set forth by Sec. 280A. Enter "O for zero amounts.) Item For AGI From AGI Insurance 375 $ 0 525 0 Repairs and maintenance Interest on mortgage Property taxes 2,250 750 750 250 Utilities 600 4,600 Depreciation 9,100 $ 1,000 Total deductions Requirement b. What is the effect on the basis of the condominium? The basis of the condominium is decreased by $4,600. During the current year, Kim incurs the following expenses with respect to her beachfront condominium in Hawaii: (Click the icon to view the data.) During 2019, Kim used the condominium 20 days for vacation. She rented it out for a total of 14 days during the year, generating a total gross income of $9,100. Requirement How does Kim report the income and deductions from the property? Kim Since the condominium was rented for fewer than 15 days, and Kim used the condominium over 14 days during the year for personal purposes, it qualifies as primarily personal. Thus, Kim will report no income or deductions from the property. may deduct the property taxes from AGI, and if Kim chooses the condominium as her rental business, she also can deduct the interest for AGI
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