tax on rental?

My husband inherited a house in Fl this year and we have rented out. I was wondering how the income from the rental is taxed? We have put alot of money in it this year fixing it up.

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by cat2young:
My husband inherited a house in Fl this year and we have rented out. I was wondering how the income from the rental is taxed? We have put alot of money in it this year fixing it up. <HR></BLOCKQUOTE>

Whatever your gross rental income for the year is (based on either fiscal or calendar) you take that figure, deduct your expenses and arrive at a net income. Take the net income figure and write the amount on a check payable to the IRS.

Next step. On your 1040 you need to file Schedule E. Take the net income from E and list this amount to 1040 as it is counted as part of your income.

[This message has been edited by HomeGuru (edited November 05, 2000).]