Reporting Rental Income

[Terry N.]

Dumb question...I'm a newbie, please forgive...

If I get 1100 a month in rent but I pay 900 in mortgage payments.  Do I report my rental income as 2400 a year?  or 13,200?

[Kyle J.]

You are required to report the gross rental income you collect (in this case 13,200 - assuming you actually collect it all). You then can deduct your allowable expenses from that, which would include mortgage interest paid but NOT principal payback. So your entire mortgage payment would not be deductible.