Source: http://dinesentax.com/1173/take-the-money-and-run-the-tax-consequences-of-winning-a-home-in-a-giveaway-part-2
Timestamp: 2013-06-20 08:01:03
Document Index: 695691176

Matched Legal Cases: ['art 2', 'art 2', 'art 4', 'art 1', 'art 3', 'art 3', 'art 1', 'art 2', 'art 2']

Take the Money and Run? The Tax Consequences of Winning a Home in a Giveaway, Part 2 | The Dinesen Tax Times by Jason T. Dinesen, E.A.	Home
Take the Money and Run? The Tax Consequences of Winning a Home in a Giveaway, Part 2	January 3, 2012	in Potpourri of Tax Topics	with 2 Comments	Yesterday I blogged about the tax consequences of winning a home in a giveaway such as the ones HGTV does now and then. Basically, the value of the home is taxable income to the winner.
A combination of renting and using a line of credit might be a good strategy. You could rent the house, even part of the year, to cover all the expenses associated with the property. The tax implications would vary depending on your income (rental losses may or may not be deductible depending on your income), how much you use the house for personal purposes, and if the average rental period is 7 days or less per tenant. (This is why it’s best to proceed with caution and seek professional tax help!) See the “Important Note” above and Part 4 of this series. This strategy is likely not possible due to covenants. Tomorrow I’ll blog about what I would do if I won a home in a giveaway.
« Win a Home on TV, Find a Tax Collector in the Attic (the Tax Consequences of Winning a Home in a Giveaway, Part 1)You Won a Home! Now What? Part 3 of the Series »
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January 4, 2012	[...] have blogged about the tax consequences of winning a home in a giveaway. (Click here for Part 1 and here for Part 2.) Today, I’ll talk about what I would do if I won a [...]
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December 26, 2012	[...] Take the Money and Run? The Tax Consequences of Winning a Home in a Giveaway, Part 2 [...]