Article Date:
March 2006

Word Count:



Bed and Breakfast Joke

Dennis E. Lofstrom reported $649 of income and $19,158 in expenses on his Angel’s Rest Arrowhead Ranch Fly-In Bed and Breakfast. The court granted a zero deduction for the expenses because1



Lofstrom allowed his daughter and her family to use the B&B. Tax law counts the daughter’s use as personal use by Lofstrom, and the amount of her personal use made the B&B a Lofstrom residence for tax purposes.


Lofstrom did not use the B&B exclusively for business.


Lofstrom had no records proving ... Log in to view full article.

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