Rental tax deductions

Many rental home expenses are tax deductible. Save receipts and any other documentation, and take the deductions on Schedule E.

In general, you can claim the deductions for the year in which you pay for these common rental property expenses:

  • Advertising
  • Cleaning and maintenance
  • Commissions paid to rental agents/property managers
  • Home owner association/condo dues
  • Insurance premiums
  • Legal fees
  • Mortgage interest
  • Taxes
  • Utilities

Less obvious deductions include expenses to obtain a mortgage, and fees charged by an accountant to prepare your Schedule E.

And don’t forget that a rental home can even be a cabin,  houseboat or trailer, as long as there are sleeping, cooking, and bathroom facilities and you can show some income from rents.

 



Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s