Question

Natalie owns a condominium near Cocoa Beach in Florida. This year, she incurs the following expenses in connection with her condo:

Insurance	$	1,000
Advertising expense		500
Mortgage interest		3,500
Property taxes		900
Repairs & maintenance		650
Utilities		950
Depreciation		8,500

During the year, Natalie rented out the condo for 75 days, receiving $10,000 of gross income. She personally used the condo for 35 days during her vacation. Natalie's itemized deduction for nonrental taxes is less than $10,000 by more than the property taxes allocated to the rental use of the property.

1. Assuming that gross rental revenue was $2,000 (rather than $10,000) and that Natalie's itemized deduction for taxes is $10,000 before considering property taxes allocated to rental use of the property, what amount of for AGI deductions may Natalie deduct in the current year related to the condo?

Answer 1

Given that, during the year, Natalie rented out the condo for 75 days, receiving $10,000 of gross income.

She personally used the condo for 35 days during her vacation.

Natalie's itemized deduction for nonrental taxes is less than $10,000 by more than the property taxes allocated to the rental use of the property.

Assuming that gross rental revenue was $2,000 (rather than $10,000) and that Natalie's itemized deduction for taxes is $10,000 before considering property taxes allocated to rental use of the propert,

The amount of for AGI deductions may Natalie deduct in the current year related to the condo is $10000