In the current year, Clara rented her apartment on AirBnb for 13 days. She received gross rental income of $3,100. Her expenses for the apartment are: - Operating expenses $4,000 - Depreciation $2,000 - Mortgage interest and Property taxes $4,000 - Utilities/repairs $2,000 Calculate the income and expenses reported for the rental activity. What will Clara report on her tax return for this rental activity? $3,100 income, $3,100 expenses $3,100 income, $0 expenses Clara will not report anything. $3,100 income; $12,000 expenses
In the current year, Clara rented her apartment on AirBnb for 13 days. She received gross rental income of $3,100. Her expenses for the apartment are: - Operating expenses $4,000 - Depreciation $2,000 - Mortgage interest and Property taxes $4,000 - Utilities/repairs $2,000 Calculate the income and expenses reported for the rental activity. What will Clara report on her tax return for this rental activity? $3,100 income, $3,100 expenses $3,100 income, $0 expenses Clara will not report anything. $3,100 income; $12,000 expenses
Chapter6: Deductions And Losses: In General
Section: Chapter Questions
Problem 46P
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6. In the current year, Clara rented her apartment on AirBnb for 13 days. She received gross rental income of $3,100.
Her expenses for the apartment are:
- Operating expenses $4,000
- Depreciation $2,000
- Mortgage interest and Property taxes $4,000
- Utilities/repairs $2,000
Calculate the income and expenses reported for the rental activity. What will Clara report on her tax return for this rental activity?
$3,100 income, $3,100 expenses
$3,100 income, $0 expenses
Clara will not report anything.
$3,100 income; $12,000 expenses
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