Joseph incurred a number of expenses in relation to his legal practice and investment

property for the year ended 30 June 2010:

_ He paid 0 on 24 October 2009 to his tax agent to lodge his income tax return for the

2009 income year.

_ He paid 00 in borrowing expenses on 1 February 2010 to his bank for a 12 year loan

to purchase a new rental property that commenced earning income on that day.

_ He paid 50 in insurance premiums on his business premises on 1 May 2010 for

insurance cover to 30 April 2011.

_ He paid 00 for six months supply of stationery to use in his business on 13 June

2010. The stationery was delivered on that day and he had 00 of that stationery on

hand at 30 June 2010.

Assuming that Joseph is not eligible to be a small business entity (SBE) what amount can

Joseph claim as deductions (to the nearest dollar) for the year ended 30 June 2010?

A:91.

B:50.

C:50.

D50.

E:92.

Seeking help on this scenario. Have HELOC on the house we are living in. We borrow money on the HELOC to build another house and move into the new house. Turn the old one with the HELOC into a rental property. I am a realtor and actively manage this rental property as a full time professional. As part of my active business, I can deduct any losses that I have on the rental property – which are mortgage interest and property taxes minus rental income. Now the question is can I deduct the HELOC interest that was used for building my current primary home? What happens I pay off some of this HELOC debt and draw again for some other uses later on. Which means it is like an account where I can borrow and pay off – with interest deduction. Greatly appreciate any thoughts.
I believe when we made the house a rental there was a 0K HELOC and it was further increased to 0K. After that I paid off some, reduced to 0K.
All the initial 0K draw on HELOC was used for the new home construction.

My husband and I bought a rental property in September. Since we are new at this I am not completely sure what all is tax deductible. Our taxes will be done at HR Block. I am just curious for my own questioning. We have not had much expense in those months. We did spend money for paint, varnish, painting supplies, fire alarms, fire extinguishers, etc. our first month. After that it was mostly paying bills and the building payment. Also, when I tracked my mileage I tracked miles per trip I then used a trip calculator to figure the price I would pay for gas at the cost of gas that day for the specific amount of miles including my gas mileage. I read somewhere recently that it could only be deducted if you use a standard deduction is that true? Also, when we bought the building we were told to call the IRS and get a tax ID number so we did. Now when I spoke to my usual accountant at HR Block hes saying we file this with our personal taxes. Did we not need the tax number? Do we really claim it with our personal? I am a little baffled by this. I was always under the assumption business was filed seperate. Any info would be greatly appreciated.
also, we bought new appliances for the one unit. Is that deductible? I believe they are energy star.
also, I was married on july 17, 2008. what would my status be for my taxes?

With my intention to make money, I started attending different real estate seminars, seeing properties, deals and so on from January 2007. This had some expense involved such as car mileage and education cost. I also bought my first investment rental property in August 2007. However, most of the expense such as car mileage and education cost were misc expense for real estate business and not directly related to this rental property. My question is how can I show my expenses which are not directly related to this investment rental property but they are misc/general real estate business?

1- Should I show all the miscellaneous/general real estate business expenses against this investment rental property in schedule E?

2- or should I have another column saying "Miscellaneous real estate expense" in schedule E and show miscellaneous expenses there, but this will have zero income as rental income is only from rental property?

3- or is there another way to show misc real estate expense?

With my intention to make money, I started attending different real estate seminars, seeing properties, deals and so on from January 2007. This had some expense involved such as car mileage and education cost. I also bought my first investment rental property in August 2007. However, most of the expense such as car mileage and education cost were misc expense for real estate business and not directly related to this rental property. My question is how can I show my expenses which are not directly related to this investment rental property but they are misc/general real estate business?

1- Should I show all the miscellaneous/general real estate business expenses against this investment rental property in schedule E?

2- or should I have another column saying "Miscellaneous real estate expense" in schedule E and show miscellaneous expenses there, but this will have zero income as rental income is only from rental property?

3- or is there another way to show misc real estate expense?

I purchased a rental property recently and have been doing extensive work to keep rent and maintain it. I have numerous credit card statements and milage records for work done. Do I need to somehow formally declare that I am running a business for the IRS? I will go over the standard deduction this year and wasn’t sure if I needed to start a business or something. I am new to tax law and business, so the more detail the better. Thanks!!