would write-offs outweigh tax on rental income?

[bronxchickenman]

I own a multifamily house.  I rent out one unit and report taxes as I should.  The other unit I live in, and it has 4 extra rooms that I rent out.  Questions:

1.  Will I have to report the income from the rooms in my own unit (the house is also my primary residence for tax purposes). 2.  If I report all income, how can I figure out if deductions will outweigh tax on the rental income?  The rooms generate $2900 per month, and will leave me with 1 room in the unit, or 1/5th of the unit.

Thanks for your help.  Unfortunately the CPA I chose to work with is a glorified version of turbotax that charges full CPA rates with no solid advice.  Any advice on how to choose a good CPA would be great too!

[seattlecyclone]

1.  Will I have to report the income from the rooms in my own unit (the house is also my primary residence for tax purposes).

Yes, this is required. See this publication for more information.

2.  If I report all income, how can I figure out if deductions will outweigh tax on the rental income?

Look at the tax forms and see how much deductible expense you could have. There are too many variables to have a good guess. Not sure why whether the deductions outweigh the tax is relevant; you're required to report this income regardless.