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emc011075
emc011075, Tax adviser
Category: Tax
Satisfied Customers: 2757
Experience:  IRS licensed Enrolled Agent and tax instructor
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I amthinking of purchasing a motorhome with the intent of

Customer Question

I amthinking of purchasing a motorhome with the intent of renting it out. What if any expenses can be deducted on your tax return? Is this a good investment?
Submitted: 1 year ago.
Category: Tax
Expert:  emc011075 replied 1 year ago.
Hi. My name is ***** ***** I will be happy to help you.
You will be able to deduct expenses associated with the upkeep and maintenance. Most common expenses would be property tax, insurance, mortgage interest, cleaning and maintenance, utilities, registration and other taxes and you will also be able to deduct percentage of the purchase price every year through depreciation.
How much of the expenses you will be able to deduct will depend on the use as well and how many days in the year you will rent it out. If you will use the motorhome for personal purposes your deduction will be limited. The motorhome will be treated as second or vocation home for tax purposes. Here's what IRS regulations are regarding renting home/cottage/ and other dwellings, including motorhomes: http://www.irs.gov/publications/p527/ch05.html
If it is a good or bad investment it depends on individual circumstances and I guess location as well.
I see you offline now. So if this answered your question, please take a moment to rate my response so that I may receive credit for assisting you today. However, if you need clarification, or want to discuss this issue further, let me know. Thank you.
Expert:  emc011075 replied 1 year ago.
I see you read my respond. Any questions? Is there anything else I can help you with today?
And if you found my answers helpful, a Positive Rating would be greatly appreciated. Thank you.