 | Rental properties provides great tax benefits. Consult your tax advisor to see if you qualify for these common deductions for your rental property. 1. Interest Mortgage interest payments, and interest on credit cards used for rental activity 2. Depreciation Deduct a portion of the cost of the property over several years 3. Repairs Repainting, plastering, fixing leaks, gutters or floors, and replacing windows 4. Casualty Losses Theft, damage or destruction from a fire or flood 5. Insurance Deduct premiums you pay for almost any insurance for your rental 6. Home Office Applies to space devoted to office work, as well as a workshop or any other home workspace you use for your rental business 7. Employees and Independent Contractors Hiring someone to perform services for your rental activity? You can deduct their wages as a rental business expense. 8. Local Travel When you drive to your rental building or go to the store to purchase a part for a repair, you can deduct your actual expenses (gasoline, upkeep, repairs), or use the standard mileage rate (check the IRS website for current rates). 9. Long Distance Travel Traveling overnight for your rental activity? Deduct your airfare, hotel bills, meals, and other expenses. 10. Legal and Professional Services Including attorneys, accountants, and property managers. |
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