Pocket Tax-free Cash

If you own a vacation home, you may have pondered renting It occasionally to help offset some of the costs. If you do this, pay attention to the 14-day rule. The proceeds from a personal residence that is rented out 14 days or less a year are nontaxable and don’t need to be reported on your tax return no matter how much you charge. A dwelling is considered your personal residence if you use it at least 14
days each year or 10% of the days the home is rented to others at fair market value, whichever is greater. The IRS’s definition of personal use is broad for this purpose. It includes days you or a family member use
the house. Also counted are days you let anyone else use the home at less than a fair rental. The 14-day rule also applies to rentals of your primary home.