I'm confused about Form 8858. In my research, I found conflicting information—some sources say I need to file it, while others say I don’t. Given the information below, do I still need to file Form 8858?The property was previously my home, but I now rent it out.I haven’t set up a business or LLC, nor do I have a property manager. It’s purely passive income, with the tenant paying me directly via ACH.I don’t keep a spreadsheet or track it as a business—I just ensure the tenant pays each month.I also spend very little time managing it.The property is in my name.

Based on the information you provided, it does not appear you need to file Form 8858. This form is required for U.S. persons who own a Foreign Disregarded Entity (FDE) or operate a Foreign Branch (FB) directly or indirectly Since your rental property is in your name and you haven't set up a foreign business or LLC, you don't meet the criteria for filing Form 8858. To file Form 8858, you would need to own a Foreign Disregarded Entity (FDE), which is an entity not created or organized in the United States and is disregarded as separate from its owner for U.S. income tax purposes. However, you do need to file: Form 1040: Report your rental income on Schedule E, including income, expenses, and depreciation FBAR (Foreign Bank Account Report): If you have foreign bank accounts with more than $10,000 at any point during the year

TurboTax

File with experts
File your taxes
Experts at your fingertips

An expert helps with your taxes, or does them for you
TurboTax Expert Full Service

TurboTax Expert Assist

TurboTax Self-Employed
Prior year taxes
File myself
File myself
Do it yourself

We'll guide you step-by-step
TurboTax Do It Yourself

TurboTax Self-Employed

TurboTax Desktop
TurboTax Free

Activate your product

Prior year taxes
Business
Business
Business taxes

Get your T2 corporate return done right, your way
TurboTax Business

TurboTax Business Desktop
Tax situations
Tax situations
Tax situations

Find extra guidance for your big life moves
For investors

For 25 and younger

For self-employed

For new to Canada

For life changes
Resources
Resources
Resources

Explore tax tools, get tips, and read reviews
Personal income tax calculator

RRSP savings calculator

Learning hub

TurboTax support (FAQ)

TurboTax community
Pricing

Community

MJ Sally

Question

Foreign Rental Property - 8858

Forum|Forum|1 year ago
March 25, 2025
1 reply
0 views

I'm confused about Form 8858. In my research, I found conflicting information—some sources say I need to file it, while others say I don’t. Given the information below, do I still need to file Form 8858?

The property was previously my home, but I now rent it out.
I haven’t set up a business or LLC, nor do I have a property manager. It’s purely passive income, with the tenant paying me directly via ACH.
I don’t keep a spreadsheet or track it as a business—I just ensure the tenant pays each month.
I also spend very little time managing it.
The property is in my name.

SabrinaD2

Based on the information you provided, it does not appear you need to file Form 8858. This form is required for U.S. persons who own a Foreign Disregarded Entity (FDE) or operate a Foreign Branch (FB) directly or indirectly

Since your rental property is in your name and you haven't set up a foreign business or LLC, you don't meet the criteria for filing Form 8858.
To file Form 8858, you would need to own a Foreign Disregarded Entity (FDE), which is an entity not created or organized in the United States and is disregarded as separate from its owner for U.S. income tax purposes.
However, you do need to file:
- Form 1040: Report your rental income on Schedule E, including income, expenses, and depreciation
- FBAR (Foreign Bank Account Report): If you have foreign bank accounts with more than $10,000 at any point during the year