YesYouMustPay

My client's balance due return was rejected because the ex-wife hijacked his dependent exemptions. It was transmitted around 8:00 pm April 15, couldn't get through the traffic any earlier. I printed the reject notice April 17. He must now file a paper return to start the dependent claim dance. Is he timely filed, if his paper return mails today, April 18? How do I prove later that he did try to efile on 4/15? Is this going to be trouble?

I posed this question because the form 8829 does not flow income from Sch E, Only Sch C, to Part II line 8, the test for enough income to absorb the OIH deduction. I find there is usually a reason for such things. which is why I asked. I think the answer is that rental activities are not considered a trade or business, unless you are a real estate pro, as pointed out by others. I have read both articles above, one by a tax attorney, and one by a tax professor, and both articles say the same thing, that you can take the OIH on sch E. What is unclear to me, is which author is the plagiarist, because they are the same article word for word. I would like to find court cases referenced to by RoyDaleOne, that rule on this matter. Any citations would be much appreciated. So far, I can't find anything.

As I look through past returns for this new and deceased client, I see that he had been taking an office in home deduction, presumably a place to manage his fourteen rental units. Best I can tell, that is not allowed, because a rental activity is not a trade or business, and one must be in a trade or business to qualify to deduct business use of home. Is that right?