Renting out a property you also personally use triggers specific IRS rules — and renting 14 days or less has a separate, even more favorable rule of its own.
How it works
If rental days are 14 or fewer, rental income isn’t taxable and isn’t reported at all, regardless of personal use. Otherwise, if personal-use days exceed the greater of 14 or 10% of rental days, the property is classified as “used as a home,” limiting how rental expenses can be deducted — expenses are allocated based on the ratio of rental days to total days used.
What this does not include
The specific expense-limitation rules for a property “used as a home” (deductions capped at rental income, in a specific order) go beyond the expense allocation this calculator computes — Publication 527’s full worksheet handles that ordering.
How to use this calculator
- Enter rental days and personal-use days.
- Enter total annual expenses for the property.
Frequently asked questions
Do I have to report rental income if I rent 14 days or fewer?
No — per the 14-day rule, that income is entirely tax-free and doesn’t need to be reported, regardless of how much rent was charged.
What counts as a “day of personal use”?
Generally any day the owner, a family member, or anyone paying less than fair rental value uses the property — not just the owner’s own vacation days.
Can I still deduct mortgage interest and property tax if the home is “used as a home”?
The personal-use portion of mortgage interest and property tax remains deductible as an itemized deduction (subject to normal limits), separate from the rental-expense allocation this calculator computes.
