If you have a lot of deductions and the amount you show as "real" income on your returns is low, this will be problematic for FHA financing.

There is a fairly new 20% pass through deduction you may qualify for that could help you, but not everyone qualifies.

If so, how can I minimize the rebate I give them - if the rent is say $5000, do I say fridge is $100 and dryer is $150 so ok you can deduct say $(250) * 2weeks/1month = $125. or do I say ok send me your bill for food and laundromat and you can deduct that full amount (that will be expensive I guess).If I'm not liable how do I reply that doesn't have ramifications.

It is cash you wouldn't have been able to finance anyway and easier to enforce than a judgement or bank levy. 

The bonus here is you can write off the milage (if you deduct by the mileage method) for your travel to pick up your mail.

They never told me about this fee and won't release my deposit until I sign the release form woth deducts the 400 from mt deposit.

It's not a meaningful number you'd ever want to share because income taxes are not deducted from the way properties are generally marketed and this will make your numbers look lower.If you wanted to calculate income net of income taxes at the property level you'd have to first take the net income for the property from Schedule E and divide it by the total income.

You may want to speak with a real estate attorney as you may be able to deduct the higher than normal water charges from your rent  payments - if you documented everything correctly.

@Levi T.Agreed on all fronts.

She also likes it a lot at tax time when those deductions come around.