IRS vs Tax Court methods

Discussion in 'Tax' started by Ed, Oct 20, 2005.

  1. Ed

    Ed Guest

    I'm studying the topic of vacation home rentals. I would
    like to find more information regarding the advantages and
    disadvantages of the IRS method vs the tax court method
    (Bolton decision) for prorating days of occupancy for the
    purpose of calculating deductible expenses.

    I have run several searches and have come up dry, even on
    the IRS web site. The only info I get under "Bolton" is
    about the guy who is now ambassador to the UN.

    Even Pub 527 has no information on this.

    Does anyone know where I can find info on this?


    Thanks also to those of you who responded a few weeks ago to
    my question regarding the 2005 limit for itemized
    Last edited by a moderator: Jan 23, 2018
    Ed, Oct 20, 2005
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  2. Ed

    MTW Guest

    The IRS has never officially accepted the Bolton decision.
    Therefore, you won't find anything about it in the IRS

    (Parenthetically, this is a classic example of how you will cut
    yourself short if you limit your research to IRS materials. You
    will never hear about more favorable treatments that have been
    allowed by the courts.)

    I tried a quick Google search using "tax court bolton vacation
    home" and got a number of hits. Try this and see if it leads you
    in the right direction.

    Last edited by a moderator: Jan 23, 2018
    MTW, Oct 22, 2005
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  3. Ed

    Ed Guest

    OK, thanks. I'll try that. I had never tried that combination
    of words.
    Last edited by a moderator: Jan 23, 2018
    Ed, Oct 23, 2005
  4. Ed


    Mar 27, 2017
    Likes Received:
    what are the longer term consequences or trade-offs if the tax court method is used? Short term is larger refund but des it impact sales cost basis later? This is a vacation home.
    Butcher, Mar 27, 2017
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