FAA4.H Unearned Income (UNIN UNIC) : 03 Types of Unearned Income - Overview : NN Rental Property Income
Rental Property Income
 
REVISION 48
(01/01/20 – 12/31/20)
Rental income received by the participant homeowner is countable as unearned income when the CA participant does not manage the property, or the NA participant manages the property less than 20 hours per week.
 
For NA, complete the following:
 
●Key the RE Unearned Income Code in the INC TYP field and key FS in the Sub Type code in the SUB TYP field on UNIN (RE FS).
●When there is verification that at least one allowable business expense exists, manually deduct 40% from the gross rental property income and key the net on UNIN. (See Rental Unearned Income Example).
 
For CA, key the RE Unearned Income Code in the INC TYP field and key AF in the Sub Type code in the SUB TYP field on UNIN (RE AF).
 
See Self-Employment Rental Income when the CA participant manages the property, or the NA participant manages the property for 20 hours or more per week.