VRBO Tax Deduction to Offset SFH Rental Income

[Dan O'Meara]

Hello,

I currently have five SFH that I rent out full time in Minnesota. I recently purchased a lake cabin (6 Bed) that I intend to VRBO. None of the assets are in an LLC, so I am directly responsible for taxes.

I understand the liability about not having an LLC, and yes I will consult my tax professional before taking action. I am just trying to brainstorm ideas and options.

Here are my questions:

1.  I am thinking of purchasing an RV ($17,000) so I can offer the option of additional bed space.  The RV would be at an extra cost and parked in the yard next to the cabin.  Would this qualify as a deduction for the cabin VRBO, or would it fall under its own RV VRBO tax entity?

2. Would this deduction allow me to offset income earned from the other SFH?

Thanks in advance

Dan