Tax Window for Vacation Homes

Perhaps you own a vacation home that you and your family use personally.

Key tax break: There is a unique tax window of opportunity for short-term rentals. If the rental for the year lasts 14 days or less, you do not have to report any income or expenses on your tax return.

For example, say you rent out your second home for two weeks this summer at $2,500 per week. Result: You can pocket the entire $5,000 free and clear.

Leave a Reply

Your email address will not be published. Required fields are marked *