Indian Rental Income - US Tax

sunny63 · Post by **sunny63** » Sat Jul 17, 2010 2:02 am

I am in kind of similar situtation, but little different.

I paid taxes on rental income in India and also filed tax returns in India.( got back some amount)
I am not sure whether we need to declare anything in US while filing tax returns?

Can experts please clarify?

Thanks!!

hope4best · Post by **hope4best** » Sat Jul 17, 2010 7:17 am

AFAIK, you pay taxes in India for rental income received in India. You can claim deduction for the Interest paid on Housing Loan from rental income and any other income earned in India. I have been doing this for the past few years.

HTH,

sophisticuss · Post by **sophisticuss** » Sun Jul 18, 2010 9:05 pm

I thought Mortgage for rental homes cannot be claimed in deductions.( even if the rental home is in US) .
Rental properites are seperate schedule in 1040 and if there is a loss , then it is a passive loss and can be claimed only if annual income is less than 150K.( in a phased manner).

H4b, did you mean you deducted mortg.interest in 1040 itemized deductions ?