Rental Industry News Today

HomeAway Vacation Rental Site Sees Strong Growth Since 2006

According to a news release dated November 17, 2012, “Big Four” accounting firm Ernst & Young has named vacation rental site HomeAway co-founder Brian Sharples as its National Entrepreneur Of The Year 2012 Services Award winner.

Considered one of the USA’s most prestigious business recognitions, the award is bestowed upon visionaries who demonstrate innovation, financial success and personal commitment in creating and building top flight businesses.

Sharples launched HomeAway in 2005, and the following year he launched the company’s website after acquiring six vacation rental property listing sites. Understanding that choice is a ‘must-have’ for those seeking vacation rental properties, Sharples spent five years focusing on organic growth and building his customer base by purchasing 17 additional rental sites. Today, HomeAway features in excess of half a million vacation rental listings spanning 168 countries.

National Entrepreneur Of The Year® 2012 Services Finalists

In addition to Sharples, the Ernst & Young Entrepreneur Of The YearServices national finalists were: Paul English, Co-founder and Chief Technology Officer, KAYAK, of Concord, Mass., one of today’s most popular online travel search sites with a core focus on making travel technology better, faster and easier; Jim Dixon, CEO, CompuCom Systems, Inc., of Dallas, Texas, a leading IT outsourcing specialist, providing managed solutions for mid-market and enterprise clients in the retail, technology, manufacturing, finance, energy, and healthcare industries; Robert Low, President, Prime, Inc., of Springfield, Mass., a leader in transportation service, including refrigerated, flatbed, tanker and logistics.

Read more details here.

Renting Your Vacation Home

Income that you receive for the rental of your vacation home must generally be reported on your federal income tax return. However, if you rent the property for only a short time each year, you may not be required to report the rental income.

The IRS offers these tips on reporting rental income from a vacation home such as a house, apartment, condominium, mobile home or boat:

•Rental Income and Expenses:  Rental income, as well as certain rental expenses that can be deducted, are normally reported on Schedule E, Supplemental Income and Loss.

•Limitation on Vacation Home Rentals. When you use a vacation home as your residence and also rent it to others, you must divide the expenses between rental use and personal use, and you may not deduct the rental portion of the expenses in excess of the rental income.
 
You are considered to use the property as a residence if your personal use is more than 14 days, or more than 10% of the total days it is rented to others if that figure is greater. For example, if you live in your vacation home for 17 days and rent it 160 days during the year, the property is considered used as a residence and your deductible rental expenses would be limited to the amount of rental income.

Limited Rental Use

•Special Rule for Limited Rental Use  If you use a vacation home as a residence and rent it for fewer than 15 days per year, you do not have to report any of the rental income. Schedule A, Itemized Deductions, may be used to report regularly deductible personal expenses, such as qualified mortgage interest, property taxes, and casualty losses.

IRS Publication 527, Residential Rental Property (Including Rental of Vacation Homes), is available at IRS.gov or by calling 800-TAX-FORM (800-829-3676). The booklet offers more information about rental property, including special rules about personal use and how to report rental income and expenses.