ACC 401 ASSIST Extraordinary Success/acc401assist.com ACC 401 ASSIST Extraordinary Success/acc401assist | Page 20

www.acc401assist.com Ch8. 33. Ramone is a tax attorney and he also owns an office building that he rents for $8,500 /month. He is responsible for paying all taxes and expenses relating to the building’s operation and maintenance. Is Ramone engaged in the trade or business of renting real estate? 34. Kelvin owns and lives in a duplex. He rents the other unit for $750 per month. He incurs the following expenses during the current year for the entire property: How are the expenditures treated for tax purposes? On what tax form(s) are these amounts reported? 35. In the current year, Sandra rented her vacation home for 75 days, used it for personal use for 22 days, and left it vacant for the remainder of the year. Her income and expenses are as follows: