Tax implications of "renting" to a partner who doesn't pay much

Question

I own a home, and my boyfriend lives with me. We agreed he would pay rent similar to what it'd cost to split a cheap apartment in the area, but he has only paid a very small amount, less than what his half of the utilities would be. I just did my taxes as normal and didn't put anything about "renting" the place since I didn't really collect any rent, but another question made me wonder if that was a mistake. Could I claim it as a rental even if he's not really paying rent, and deduct things like repairs and depreciate the property and things like that? Is it even worth looking into, or would it be pointless because the deductions are limited to the income I made or something like that?
Main question:
Can I deduct expenses such as repairs, if I'm charging but not receiving rent?  (i.e. the rent is in arrears; I am owed a lot of rent.)

JTP - Apologise to Monica · Answer

This feels like a variation of Paying “rent” to romantic partner that owns the house, and I'd suggest reading the question and all of the answers there.
Keep in mind, the rent one must charge a tenant is "market rate" and if you claim less, you might not pass an audit. If you live in a home that would rent for $2000/mo, but claim $500/mo rental income, along with $15,000 in annual expenses, you might be in for a nasty surprise.

he's not really paying rent

This is the issue for me. And what may trigger an audit.

Fattie · Answer

I'd say

if the lodger is actually not giving you the rent, ie, lodger actually owes you for unpaid rent.  I would have to say in all circumstances, one would just ask them to leave.  (Since you have a personal relationship, I'd guess, that is the very best way to salvage the relationship. Separate out this "business" aspect.)

I believe the core of your question is "My lodger actually did not pay $X of the $Y rent, can I deduct it or something?"

In general the answer to that in the US is landlords can NOT make the amount $X a deduction unfortunately.  BUT you can indeed just put in the new amount (Y - X) as the income.  Obviously that's much lower so better.
However the IRS would probably find it wildly suspicious, BUT, IN FACT, you are totally "white and clear" here, everything you are saying is true.
I'm afraid, we would need someone incredibly expert to work out example dollar amounts.
But at least I've been able to point you to, No, in fact landlords can not deduct "unpaid rent" as an "expense".
Here's a reference ..
https://homeguides.sfgate.com/can-landlord-write-off-evicted-tenants-rent-debt-income-tax-return-54306.html

"The IRS rules for landlords who use the cash accounting method are clear. Since rent debt represents uncollected income, landlords neither report it as income nor deduct it as an expense. However, any actual costs associated with evicting a tenant are deductible. These costs might include the use of a collection agency, legal costs, and cleanup/repairs resulting from a disgruntled tenant.

Tax implications of "renting" to a partner who doesn't pay much

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