Welcome back! Ask questions, get answers, and join our large community of tax professionals.
cancel
Showing results for 
Search instead for 
Did you mean: 

Client rented his time share for the first time in 2018. Client then sells timeshare, can he take the loss on the sale?

nmr12354
Level 3

Client owned timeshare since 2002. In 2018 he rents it for the first time, then decides to sell it. Can he take the loss?

0 Cheers

This discussion has been locked. No new contributions can be made. You may start a new discussion here

1 Best Answer

Accepted Solutions
TaxMonkey
Level 8

Loss basis in a rental is the lower of adjusted basis or FMV on the day converted to rental. Given that there was as short time between conversion and sale it seems unlikely there is deductible loss.

View solution in original post

0 Cheers
1 Comment 1
TaxMonkey
Level 8

Loss basis in a rental is the lower of adjusted basis or FMV on the day converted to rental. Given that there was as short time between conversion and sale it seems unlikely there is deductible loss.

0 Cheers