Schedule E, Part I: Income or Loss from Rental Real Estate & Royalties

Page in progress. Last updated 5/1/17 Page will be completed in the near future. Please check back.

This page includes information for Part I of Schedule E. For information on any other section of Schedule E, please refer to that specific page.
Form 8582, Passive Activity Loss Limitations will generate automatically into a return when there is a loss from the rental real estate activity.

Add Schedule E or Rental Income Listing Page:

Select "Income" from the list to expand the income forms.

Select "Add Income Form".
Note: Forms included in your return will be listed. To view/edit/add more than one form, select the applicable form from your list to open the page.

The 2 options for adding the Rental Income Listing Page are: 

  • Option 1: Add "Rental Income Listing Page"This will bring you directly to the Rental Income Listing Page. 

  • Option 2: Add "Schedule E Supplemental Income and Loss General Information"You will be on the Schedule E page and will need to select the specific part you want to work in.

Rental Property Listing Main Page

Select "Add New" to begin.  

The Rental Property Listing Page will display the current listing(s) for this section. 

  • Select "Edit" to return to the listing. 
  • Select "Delete" to remove the listing.
    • Caution: Delete can not be undone. All information entered will be lost.  

Rental Property Listing Page

Property Information:

Type of Property:
Select the appropriate choice from the drop-down list. 

When "Other" is selected, a description is required.

All of the real estate rental activities are presumed to be with active participation. If they are not, you can not use this system. 
Be certain that you understand "active participation" and gains and losses pertaining to "passive activities". 

Rental Property Information:

Property sold in current tax year:
Check this box if this rental property was sold last year (the current tax year).

Fair Rental Days:
Enter the total days this property was rented at fair rental value. 

Personal Use Days:
Enter the total amount of days this property was for personal use.

Property Address:
Enter the property address for this rental. Make sure that no two addresses are identical in all the listing pages.

Foreign Address:
Click on "To enter a foreign address, click here" to change the address fields.


Income from Form 1099-MISC:
Form 1099-MISC(s) entered will be listed, check the box to include the Form 1099-MISC(s) with Royalties Income.

Do not include amounts of any selected Form 1099-MISC(s) in the Income box. The system automatically adds the Form 1099-MISC(s) 
selected to any income entered.   

Form 1099-MISC with Payer Foreign  Address: 
Enter the amount directly into the Income field.


If the rental property was only a rental part of the year, only enter the expense amount for when property was a rental. Do not enter any personal expense amounts.

You can deduct all the following expenses for the rental part on Schedule E. Mortgage interest. Real estate taxes. Casualty losses. Other rental expenses not related to your use of the unit as a home, such as advertising expenses and rental agents' fees. 

If any income is left after deducting these expenses (listed above), you can deduct other expenses, including depreciation, up to the amount of remaining income. You can carry over to 2017 the amounts you cannot deduct.

Mortgage Interest or Property Taxes that does not qualify to be entered with rental property can be entered into Schedule A, Itemized Deductions (if applicable).

Check the box shown above if Car & Truck Expenses will be included. 

For information on entering a vehicle for Car & Truck expenses see:

For information on entering assets for Depreciation see:

Depreciation in regards to rental property:
  •  Treat additions or improvements you make to your depreciable rental property as separate property items for depreciation purposes.
  •  You must use the straight line method and a mid-month convention for residential rental property.