Turbotax only asks for the rental expense portion in this section, do not include any personal portion of these expenses. This is for my primary residence. I need to indicate a percentage split. How can I do that?
Personal portion of expenses
If you rent part of the building where you live, you can claim the amount of your expenses that relate to the rented area of the building. You have to divide the expenses that relate to the whole property between your personal part and the rented area. You can split the expenses using square metres or the number of rooms you are renting in the building.
For example, if you rent 4 rooms of your 10-room house, you can deduct:
If you rent rooms in your home to a lodger or roommate, you can claim all of the expenses for the part you are renting. You can also claim a portion of the expenses for the rooms in your home that you are not renting that both you and your lodger or roommate use. You can use factors such as availability for use or the number of persons sharing the room to calculate the allowable expenses. You can also calculate these amounts by estimating the percentage of time the lodger or roommate spends in these rooms (for example, the kitchen and living room).
Fill in "Part 4 – Expenses" on Form T776 as follows:
If you are a co-owner or partner in a partnership, enter the personal portion of the expenses for all co-owners or partners at line 9949.
You cannot claim the expenses for renting part of your property if you have no reasonable expectation of making a profit.
You can read more here : https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/rental-income/rental-expenses-you-cannot-deduct.html#personal_portion_of_expenses
Personal portion of expenses
If you rent part of the building where you live, you can claim the amount of your expenses that relate to the rented area of the building. You have to divide the expenses that relate to the whole property between your personal part and the rented area. You can split the expenses using square metres or the number of rooms you are renting in the building.
For example, if you rent 4 rooms of your 10-room house, you can deduct:
If you rent rooms in your home to a lodger or roommate, you can claim all of the expenses for the part you are renting. You can also claim a portion of the expenses for the rooms in your home that you are not renting that both you and your lodger or roommate use. You can use factors such as availability for use or the number of persons sharing the room to calculate the allowable expenses. You can also calculate these amounts by estimating the percentage of time the lodger or roommate spends in these rooms (for example, the kitchen and living room).
Fill in "Part 4 – Expenses" on Form T776 as follows:
If you are a co-owner or partner in a partnership, enter the personal portion of the expenses for all co-owners or partners at line 9949.
You cannot claim the expenses for renting part of your property if you have no reasonable expectation of making a profit.
You can read more here : https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/rental-income/rental-expenses-you-cannot-deduct.html#personal_portion_of_expenses
Hi Meg, please see my screenshot. There is no place for me to fill in the "Total expenses" and "Personal portion" in TurboTax.
If you are only renting out a portion of a foreign property you will need to do the calculations manually
To confirm, I am renting out a portion of my primary residence in Canada. I do not need to fill in the "Total expenses" and "Personal portion" in TurboTax. Is this correct?
That is correct only enter the rental expense portion.
Doesn't this mean that form T776 won't be filled in correctly.
I am concerned about this as well. I live in my property with the co-owner and a roommate and there is no place to enter the personal portion.
Sure seems like this problem (i.e. not being given--at least not in any transparent and clear way I can find--the option to provide an allocation factor so TurboTax calculates personal portion) persists today in the ONLINE version of TurboTax Canada for 2019. I.e. contrary to what this site says, I would say "NOT SOLVED".
I've used the boxed version of TurboTax in the past and it enables personal portion, no problem as I recall. I'm going back to the boxed version from now on...
Has anyone found an answer to this for the on-line version? I'm pulling my hair out trying to find where I can enter the "personal amount" for Airbnb rental deductions (interest, property taxes, etc.). This is my primary residece that I rent out in the summer for a few weeks. I can't find a T776 in Turbo tax.
@acphillips Are you using TurboTax CD/Download or TurboTax Online?
In TurboTax Online, include only the rental expense portion, do not include any personal portion of these expenses.
Yes, but WHERE do I enter the personal portions? That is what I can't find. A regular T776 has a Part 4, line 9949 where one enters such expenses. Where is the equivalent on Turbo Tax Self Employed on-line?
There is no place to enter the personal portion in TurboTax Online, you just enter the rental amount, which is the only portion that you can claim as an expense. In TurboTax CD/Download, it asks for Total amount & personal % similar to the T776 form, but then it just uses the personal % to calculate the rental amount, which is the amount that gets used.
Thanks for your time and responses.
Sorry, I am bit confused. I rent my primary residence for 6 weeks on Airbnb in the summer, for which I am entitled to write off a percentage (days for rent/365) of things like my interest on my mortgage, property taxes, cable, internet, etc...to the tune of $43,000 (my allowable percent being $4300). I am understanding correctly that turbo tax does not allow me to enter those deductions anywhere, and as a result I am simply to pay more tax?