deduct expenses for a foreign property that did not generate rental income 2022

Forum|Forum|3 years ago
March 16, 2023
1 reply
0 views

Can you show or deduct expenses for a foreign property even if it was not put on rent for that year - meaning you did not generate rental income from that property? Does that get reported in Schedule E even if there was no rental income generated?

Not A Product Question

ErnieS0

It depends. Is this property a rental with no income in 2022 or a personal or investment property?

If it’s a rental property and you tried to actively rent it, but were unable, you can list it as a rental with no income and claim expenses.

If it was not put on rent, meaning it was either not available for rent or you did not try to actively rent the property, then it is not a rental and does not go on Schedule E.

IRs says, "You can deduct your ordinary and necessary expenses for managing, conserving, or maintaining rental property from the time you make it available for rent."

See Publication 527 (2022), Residential Rental Property.

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