ACC 401 Week 3 DQ 1 Self-Employed Business Income & Capital Gains
Repairs 1,900 Depreciation 5,500
a. What is the proper tax treatment of this information on their tax return using the Tax Court
method?
b. Is there an option for how to allocate the expense between personal and rental use? Explain
c. What is the proper tax treatment if Matt and Marie rented the house for only 14 days?
8. Janet owns a condominium at the beach. She incurs the following expenses:
Mortgage interest $ 1,300 Property taxes 800 Insurance 1,500 Utilities 1,800 Repairs 300 Depreciation 4,000
What is the proper treatment of these expenses as applied to the following situations? Use the Tax Court allocation method, if applicable.
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ACC 401 Week 3 DQ 1 Self-Employed Business Income & Capital Gains