Tax Law (Questions About Taxes)/travel nursing

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Question
1) I have heard that one can rent their home as a "vacation rental" while he is away on assignment...in other words, not the full length of the assignment, though how often the vacation rental can be full, making money was not well-answered.  
2) I have also heard one can rent part of his home and perhaps reserve a bedroom or two for himself and his family, renting out to roommates the other rooms.  Any advisement on these concerns?

Answer
Bart,

Thanks for your question.

Yes, you can do either of these.  However, the rental income (and expenses) are taxable and reported on Schedule E of your tax return.  As a consequence of renting the house, if the rental activity is significant enough, you may lose the exclusion of gain on the sale of your primary residence, or at least part of it.

There is one exception.  If the house is rented for less than 14 days in a year, the income does not have to be reported.

Hope this helps.

John Stancil, CPA

Tax Law (Questions About Taxes)

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John Stancil, CPA

Expertise

I can answer questions on personal income taxes, partnerships, and some corporate income taxes. I can deal with some state tax questions. Limited gift and estate tax questions. I am also familiar with ministerial and church tax reporting issues. I am Professor Emeritus at Florida Southern College. Sales taxes and property taxes are state and local issues so I am not likely be be able to give you an in depth answer on those types of taxes. I have maintained a CPA practice, specializing in tax, for over 35 years. I am a member of the National Association of Tax Professionals, The Florida Insititute of CPA's, The NCPE Fellowship. In addition I am a Certified Mentor for SCORE. Visit my website at www.mybaldcpa.com. I also offer seminars and consultations to churches and clergy on their tax issues at www.churchtaxsolutions.com Also visit my blog, www.thetaxdocspot.com. I am listed on Tax Connections at https://www.taxconnections.com/profile/John-Stancil/12258973 Prepare and file your own taxes at www.1040stancilcpa.com

Experience

I hold a doctorate in Accounting, and am a CPA. My certifications of CIA, CFM, and CMA are inactive. I passed all certification examinations on the first attempt, and received honorable mention for my scores on the CIA exam. I have operated a CPA firm for over 37 years and have taught accounting and tax at the college level for over 35 years.

Organizations
FICPA, NATP, NCPE Fellowship, Lakeland Business Leaders

Publications
The CPA Journal, Florida CPA Today, Green Consumer, Green Business, Global Sustainability as a Business Imperative, Palmetto Review, NATP TaxPro Quarterly, Mustang Journal of Finance and Accounting.

Education/Credentials
DBA University of Memphis MBA University of Georgia BS in Accounting Mars Hill University

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