Deductions and Write-Offs

Furniture would be considered 5 year property (having a 5 year useful life)for MACRS depreciation purposes in a rental property. Furniture and equipment, such as desks and files, would be considered 7 year property ( having a 7 year useful life)for MACRS depreciation purposes in a non-rental property such as in an office.

The depreciation year classification of a computer is 5 year property (5 year useful life)for MACRS depreciation purposes.

The depreciation year classification of the refrigerator and stove and other appliances you use in your rental property is 5 year property for MACRS depreciation purposes.

The depreciation year classification of a car used for business is 5 year property (5 year useful life)for MACRS depreciation purposes.

Generally not. Interest income is defined as portfolio income, not passive income. Portfolio income includes interest, dividends, and gains on the sale of investment property. Passive K-1 losses can only be used to offset other passive income, except when the $25,000 special loss allowance for persons with active participation in rental real estate entities can be utilized. Speak to your local CPA about your K-1 loss deductibility.

Unreimbursed payments for long term care services for chronically ill individuals are deductible medical expenses subject to certain age limitations and to the 10% / 7.5% AGI limitation on IRS Schedule A.
For year 2016 the maximum deductible premium amounts are $390 if you are age 40 or younger , $730 for those ages 41 - 50, $1,460 for those 51-60, $3,900 for those age 61-70 and $4,870 for those over age 70.

Qualified long term care insurance contracts will generally be treated as health insurance for purposes of the self-employed health insurance deduction on IRS Form 1040 page 1.

Tax-exempt interest from municipal bonds, exempt interest dividends from a mutual fund or other regulated investment company, although not taxable, is reportable to the IRS on Form 1040 line 8b, as well as on Schedule B.

Enter the total interest income amount on IRS Schedule B line 1, and under the subtotal of all the interest income, enter the 50% amount owned by your brother as a negative amount with the description "Nominee Distribution".

Yes. The amount of the penalty on early withdrawal from your savings certificate is listed as an adjustment to income on Form 1040 line 30.