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I'm moving to the UK for a temporary job transfer and will be renting out my home in California. Since my home will become an income property, I can no longer claim the mortgage interest rate deduction, but I am able to deduct the depreciation of my home.

I will continue to file US & California returns, but since the US and the UK have a tax treaty in place, my understanding is the I will not be double taxed.

Does someone know if I will be able to claim the property depreciation tax deduction from the IRS while I'm away with minimal income earned in the US?

Brythan
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Sunny
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1 Answers1

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You can certainly claim mortgage interest as an expense on your rental property. You can also claim depreciation. Being a foreign national may complicate other parts of your return, but your worksheet for calculating the income from the rental is not affected by your residency.

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