Accountant Forums


Reply
Thread Tools

sublease rents on sched E and Rent expense on sched C

 
 
Junior Member
Join Date: Apr 2009
Posts: 1
Thanked: 0
 
      04-15-2009, 05:15 AM
I have spent a good portion of the day trying to figure out the true answer to this only so far getting various opinions even from the IRS who was pretty useless. I saw a similar post but no official answers.

I have a company (LLC) we sublease space out to other renters for other rooms in the office space. Our previous CPA took the rental income, and put it on Schedule E as rental income. He took the amount we paid for rent (one check per month by our company to the owner for the whole place) as the business rent expense on Schedule C. No expense on E and NO rent income on C. If you think about it .. it can make sense they are not entirely related. One is rent income as reported. The other is a company rent expense that exists if we sublet or not... is this legitimate? has anyone seen this type of treatment? I understand the immediate answer would be to relate one to the other and take the expense where you took the rent... however is there an expressed reason it can not be done this way? Our previous CPA seemed very sure that there was nothing that said you couldn't.

thanks for all that could help!
 

Last edited by cosmicflux; 04-15-2009 at 05:20 AM.. Reason: spelling
Reply With Quote
 
 
 
Reply

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are On
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Form 1065 - Rents Paid Expense lhansen33 Individuals 0 01-21-2010 03:41 AM
Sublease shift from Schedule C to E? DougSend2 Technical Queries 0 04-10-2009 06:41 AM
Rental income from sublease Peter Kronenberg Tax 6 04-10-2009 04:13 AM
Rents paid by self-employed kucariga@gmail.com Tax 1 01-12-2007 08:06 AM
Re: HB on calendar monthly rents Troll UK Tax Credits and Benefits 1 07-14-2003 05:53 PM


All times are GMT. The time now is 06:08 PM.
Posts in this forum do not constitute the advice of AccountantForums.com or its members. Financial advice should always be taken from qualified advisors before committing to a financial decision.