Whether you own one rental property or multiple properties, the US tax code has many rules that allow rental property owners to save money and reduce their taxes—we should know, our owner/CPA, Chase Insogna, owns 9 rental properties himself—so we’re highly familiar with rental property tax deductions.
Net losses from a rental activity can be deducted in full against your personal IRS1040 income (subject to IRS limitations). If you’re not able to take deductions because you have too high of income, your losses never expire but rather are accrued until you sell the property and/or your personal IRS1040 income drops lower than the IRS threshold to take rental losses.
Often, the largest deduction for rental real estate owners is not even money you’ve spent – it is depreciation. You are allowed to deduct the price of the building you purchased for either 27.5 years with a residential property or 39 years for a commercial property.
Rental property can provide more tax benefits than almost any other investment. Making sure you maximize your tax deductions can help offset your personal income, so let our experts help you capture everything owning a rental property allows you to take.
Whether you’re an individual rental real estate investor filing a Schedule E for one or more properties, or using a corporation or partnership to protect your assets and filing income taxes with an 1120C, 1120S or 1065, we’re here to help maximize your tax deductions and grow your investments.