Only for a very limited amount of time each year, if you want the chance to deduct losses on your rental property. To be treated as a business for tax-loss purposes, your use of the property can’t exceed 14 days or 10% of the days the unit is rented during the year, whichever is greater. Ten percent may sound like a lot, but really isn’t when you figure that a seasonal rental may only be in demand for two or three months each year. For example: Lorraine, who lives in the city, bought a house at the beach as an investment, planning to rent out the house each summer. This year tenants occupied the house during July and August, for a total of 60 days. Lorraine is allowed to vacation at the house herself for a total of 14 days, which is greater than 10% of the total time the house was rented (0.10 x 60). If you violate the 14-day/10% rule, you can still deduct expenses associated with the rental, but only to the extent that you report rental income. The property can’t produce a loss that will reduce your tax bill on other income.

Site of the Month for June 2011 relates to Rental Resource. Search Rent is a rental directory providing links to apartment rental, home stay, guest house, rental booking, lodges reservation, student housing, bedroom apartments, house rentals, furnished homes, rental homes, rental properties.