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Tenant paid 12 months rent up front.

I have a house that I just moved out of in July and found a tenant who moved in August 1st, 2008. She paid an entire 12 month lease up front. Do I need to claim the entire payment as income for my 2008 taxes, then a large loss for 2009? I'm concerned about the tax hit for 2008 tax year. This is my first rental/landlord experience.  Where can I go for more information online? Thank you!


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Featured Answer by WalletPop's Tracy L. Coenen

 
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Tracy L. Coenen is WalletPop's Tax Expert and Fraud Expert

 

 

If you are reporting your rental income and deductions on a cash basis, you will report all the income in 2008. You should see a tax professional for help.


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Dear god- please make my master hate steak.

Victims of circumstance owe it to fate. Victims of choice owe it to themselves.

WB-

try www.irs.gov.

JayR


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