My CPA tells me that according to IRC Section 280A I can rent my entire home to my S corporation for 14 days or less during the year and get big tax deductions.
In the example, he explained that I could charge my S corporation $1,500 for each day of use. This rate equals what I would have to pay for a local hotel room. Say I rent the home for 14 days. That gives the S corporation a $21,000 tax deduction for the year.
He next explained that on the personal side of the ledger I don’t get any tax deductions for the rental of the house and I also don’t include the rental income on my personal tax return.
Because I operate as an S corporation, this strategy creates a net $21,000 tax deduction ... Log in to view full article.