Vacation Rental Income
Can Be Tax Free
Need extra cash? Rent out or barter your vacation home. If you do so
for no more than 14 days a year you’re eligible for a special tax
exemption. Any rental income you collect within that period is
tax-free. The income doesn’t even have to be reported on your tax
return.
If
you rent out your vacation home for more than 14 days a year, all
your rental income is subject to tax, including those first two
weeks. However, you’ll be eligible to write-off rental-related
expenses such as maintenance, utilities and depreciation, up to
certain amounts. For specifics, contact your CPA or tax advisor.
