Dear Tax Guy, I just started renting my house out on Airbnb. I started a limited liability company to keep the expenses separate from personal ones. I am trying to figure out what would be considered tax deductions in this scenario?
I had my own marketing research LLC for around 25 years, so I know a lot — just not with renting out my house. Can somebody count part of the mortgage as a deduction? What about utilities and cable? I would think so. Travel & TaxesDear Travel & Taxes, Your question about the crossroads of hospitality and regulations has this line from The Eagles’ “Hotel California” running through my head: “You can check out any time you like, but you can never leave.” You can never leave tax rules, that is. There’s always a tax question to be answered, and your budding Airbnb business is no exception. You can make rental income deductions in certain circumstances, so long as you know what to claim, how much to claim and when not to claim. The Internal Revenue Service says rental owners may deduct mortgage interest, property tax, operating expenses, depreciation, and repairs. The cost of “improvements” are not deductible — though some or all of the imp …