If its booked for 30 nights at a time it would generally be considered a long-term rental for tax purposes unless you're providing substantial services like you would find in a hotel such as daily cleaning, meals, tours, and other services.
What if a married couple filing jointly is doing a STR, and the primary income earner is the other spouse than the one that's materially participating?
Thanks for the video! What if I don’t close until later in the year and the STR doesn’t go live until say, December. As long as I materially participate for 100 hours, is that ok?
Out of luck in terms of deducting the losses as non-passive, it appears so. However, the unused losses are carried forward and used against future passive income/gains so not all is lost.
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Can I begin material participation activity starting when the property goes under contract?
I have 2 rental proprietaries… the 100hrs is per house or among both? Thank you!
I'd like to know this as well
Can you live in the property for half the year and then STR the property for the other half and still get the tax benefit?
How do you show proof of the material participation. For example self managing an Airbnb?
A time log is usually the best way.
if we use a property manager, is it still possible to take advantage of the STR loophole
It's theoretically possible but challenging and risky in reality.
What if my short term rental is sometimes booked for 30 nights at a time?
If its booked for 30 nights at a time it would generally be considered a long-term rental for tax purposes unless you're providing substantial services like you would find in a hotel such as daily cleaning, meals, tours, and other services.
What if a married couple filing jointly is doing a STR, and the primary income earner is the other spouse than the one that's materially participating?
It does not matter.
Thanks for the video! What if I don’t close until later in the year and the STR doesn’t go live until say, December. As long as I materially participate for 100 hours, is that ok?
LTR - married filing jointly, non-real estate pro, W2 income above $150k, am I out of luck, tax wise?
Out of luck in terms of deducting the losses as non-passive, it appears so.
However, the unused losses are carried forward and used against future passive income/gains so not all is lost.
Why would he be out of luck if meets one of the 7 exceptions?