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emc011075
emc011075, Tax adviser
Category: Tax
Satisfied Customers: 2841
Experience:  IRS licensed Enrolled Agent and tax instructor
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S. citizen thinking of buying property in India. want to get

Customer Question

Hello, i am U.S. citizen thinking of buying property in India. want to get an idea about the tax i would need to payhere in U.S on it's rental income
Submitted: 1 year ago.
Category: Tax
Expert:  emc011075 replied 1 year ago.

Hi. My name is ***** ***** I will be happy to help you.

NET rental income will be included in your taxable income and taxed according to you tax bracket. Net rental income/loos is your rent collected minus deductions you can take like property taxes, insurance, mortgage interest, upkeep, maintenance, repairs, legal fees, depreciation and other.

Expert:  emc011075 replied 1 year ago.

Rental income is reported on Schedule E, here's the link to the form:

http://www.irs.gov/pub/irs-pdf/f1040se.pdf

Link to an article about some common landlord's deductions:

http://www.nolo.com/legal-encyclopedia/top-ten-tax-deductions-landlords-29497.html

It is hard to say, how much tax you will end up paying, it all depends on rent you receive and how much it will cost you to run in. Some years you will claim profit, in other you will claim loss. It also depends on your tax bracket.

I can give you an estimate, I will need your total income, your filing status, dependents, and your estimated rent income.

Expert:  emc011075 replied 1 year ago.

I see you read my respond. Do you have any questions? Is there anything else I can help you with today? To estimate your total tax liability you can also use one of the online calculator like this one:

https://turbotax.intuit.com/tax-tools/calculators/taxcaster/

You are 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.