Question

Parking Space rental Income

Forum|Forum|3 years ago
March 23, 2023
3 replies
0 views

I own y condo where I live and is paid off. I only have to pay monthly maintenance for my condo that is about $500 a month. I rented out my parking space for $140 a month during the 12 months since I do not have a car. Do I need to report that income from rental space? Or can that be covered with the monthly maintenance fees I pay? If I need to report the income, in which income section of turbotax I do that?

Thank you

V

Vanessa A

Yes, you would need to report the income from renting out your parking space. You would do this using TurboTax Premier and enter it as rental income. As you choose the type of rental this is, you will select Other, then enter parking spot. As you walk through after entering income, you will be given the chance to enter expenses. This is where you will enter your maintenance fees prorated.

As for the $500/month for maintenance. Yes, a portion of this can be used to offset the income from renting the spot, however, you would need to determine which amount of the $500 applies to the parking spot. For example, if you have a 1,500 square foot condo, 500 sq. ft of yard and side walk and and all maintenance inside and out 180 sq. ft of a parking space that is all covered by that maintenance fee, you would claim 8.26% (180/(1,500sq. ft.,+ 500 sq. ft. + 180 sq. ft. ) ($41)of the $500 as maintenance fees for the parking spot.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"

G

Gabriela2Author

Thank you very much for the response. A couple of other questions, am I considered active participant or passive? also, do i need to input the type of asset? it asks for quite some info on the property that seems cumbersome. Appreciate your guidance.

T

ThomasM125

You are actively involved in the rental as you maintain the space rented. It will still be considered a passive investment since it is a rental activity however. Technically, you should enter as an asset and depreciate the rental space as when you sell the condo someday you will need to consider the depreciation when you account for any gain. You can simply divide the square footage of the parking area by the same of the whole property, then multiply that by the cost of the property to get the cost of the parking place and enter that in TurboTax when requested.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"

S

spidergirl723

If I don't own the condo but I'm renting the condo and subletting the parking spot, how would I enter this parking spot money in TurboTax Home and Business?

S

spidergirl723

How do you input a parking spot you rent when you don't own the condo or parking spot, you are just subletting it? Schedule E or Miscellaneous? I'm using TurboTax Home and Business 2022.