I am renting a part of my apartment or house while continuing to live in it. What portion of the expenses associated with maintaining my home for rental use are is eligible for tax deductions?

Any expenses used solely for the room or area that you rent out can be wholly deducted (or reported as depreciation, where applicable) from your taxes.

However, any expenses that apply to the maintenance or improvement of both the rented part of your home and the part utilized for personal use must be split.

For example, you purchase bedding that will be used exclusively by renting guests in the spare bedroom. The entire cost of the bedding can be deducted as a business expense.

On the other hand, for expenses that apply to the entire home you may only deduct the portion of that expense that is apportioned to the rental portion of your home.

[IRS]: Reporting Income and Deductions.

The foregoing is not intended to be, and should not be construed to be, tax advice. This website offers general answers to general questions based on information obtained from www.irs.gov and other publicly available information. Collaborative Fund cannot be held responsible for the results of any position taken on a tax return by any user of this site. Users should always obtain independent tax advice from a qualified tax professional to determine the tax consequences applicable to such user’s personal situation.