Hi bigger pockets community! My partner and I just purchased a house in Feb and are renting out the majority of the home. We were fortunate to get the ball rolling fairly quickly and only have to fork out 1.5 months of mortgage on our own.
my partner thinks he can do all the taxes for the home and depreciation on turbo tax, as that’s what he’s been doing forever since he’s a w2 earner. I on the other hand am begging for him to try a cpa since there’s alot of new concepts with maintence vs improvements etc for tax purposes. I’m trying to have him see the bigger picture if he puts money in tax advantage accounts first and strategically uses a tax professional, that he will be able to offset his high tax bracket w2. For reference we are not married and file separately. I do work remotely from the home and was also wondering if I could write off the portion of where I use the space as a office on the same home as he’s claiming without causing any flags on the property address. Like I said this is our first property and it’s a special case since I use the portion of the house (in the bedroom) as my office and we rent out technically 3 bedrooms 2 baths to renters. In the listing, the house is a 3 bd / 2 ba so would we count the area we live in as another bedroom/ living space or would I’d using the bedroom rule for taxes, just say we rent out all the rooms, writing off 100% ? That seems weird to me and would raise red flags for auditors and I want to persue this in the best knowledgeable way possible. Any references to a cpa or any other type of tax professional in the Solano county area would be greatly appreciated!
