| Rental properties are becoming one of the rising | | | | Depreciation of property and items in it |
| options for people who cannot either afford a home | | | | The actual cost of the rental property of any type - a |
| amidst fluctuating home prices in most real estate | | | | home or apartment building, could not be deducted in |
| markets, or those who choose to wait until the ripe | | | | the year this has been currently paid for. On the other |
| time comes for a healthier real estate industry | | | | hand, the deductions could be in the form of the |
| condition. Whatever purpose rental homes serve, the | | | | depreciated value of the property; wherein a portion of |
| landlords are the actual ones affected by | | | | the property cost could be deducted as it has been in |
| compounded responsibilities. One of the main concerns | | | | the landlord's full ownership over several years. |
| for landlords is having to pay for multiple taxes. | | | | The landlord could also deduct the costs of the |
| A thing most landlords forget in assessing taxes to be | | | | furniture and fixtures in depreciated value, included in |
| paid for is their deductibles. And this unfortunate event | | | | the rental property. These may include washing |
| is caused by non-information of the available tax | | | | machines, gas range or oven, refrigerators, among |
| deductions they could actually take advantage of. It is | | | | others. |
| little known fact that rental properties are the real | | | | Travel expenses with regards to rental activity |
| estate investments that could be rewarded with many | | | | It may seem an "over claim" if landlords even include |
| tax benefits. | | | | these. However, landlords are actually entitled to claim |
| Tax deductions for landlords and owners of rental | | | | such because these are part of expenses delegated |
| properties could be constituted of just about any | | | | for the business. Especially for landlords who are |
| expense regarded for the improvement, management | | | | away from the rental properties, these could entail |
| and conservation of the properties. Just like any other | | | | many tax deductions. If the landlord's vehicle, of any |
| owners claim for their respective businesses, landlords | | | | type, model or size, there are ways to deduct vehicle |
| must always remember to treat their properties as | | | | expenses vis-à-vis rental activity, like going to |
| commodities that offer services to many consumers | | | | rental property as some complaints need to be settled. |
| that are tenants in this case. Here are some top tax | | | | Here are the options: |
| deductions landlords should take note of in filing tax | | | | Deduct actual expenses for the travel - gasoline, |
| statements: | | | | maintenance and repairs for the vehicle. |
| Property interests | | | | Use the standard mileage rate. The rates are: 55 |
| These expenses could be one of the major tax | | | | cents per mile for 2009; 58.5 cents per mile for July 1, |
| deductions a landlord could claim. Landlords should take | | | | 2008 to the end of 2008; 50.5 cents per mile from the |
| note of the interest payments they take out for all their | | | | start of 2008 to June 30, 2008. To be able to qualify |
| rental properties. Payments on interests for mortgage, | | | | for this method, the landlord must use this method |
| loans and credit cards are only a few of the common | | | | immediately the vehicle has been used for the rental |
| examples landlords could include as tax deductibles. | | | | business activities. This method could not be used |
| However, the payments should all be proven utilized | | | | when there is already an existing claim for accelerated |
| for the improvement of the rental property or | | | | depreciation deductions or Section 179 deduction for |
| employing a rental activity. | | | | the vehicle. |
| Property repairs and improvements | | | | Other expenses like hotel bills, airfare, meals and other |
| Rental properties are usually susceptible to frequent | | | | travel costs going to long distance rental properties |
| repairs as tenants vary regularly, especially for | | | | could be considered as tax deductibles. Proper |
| short-term contracts. In any case, the landlords could | | | | paperwork must accompany authenticity of these |
| list down all the repairs and improvements done for the | | | | expenses like receipts or bill statements. |
| rental home. These are fully deductible in the fiscal | | | | Other expenses that are deductibles are |
| year the repairs have been doled out. Some of the | | | | compensations for employees, contractors and legal |
| major repairs feasible for tax deductions are repainting | | | | services, office maintenance, insurance payments, |
| jobs, fixing interiors like walls or insulation boards, | | | | losses due to casualty and theft. All these expenses |
| refurbishing pipes, leaks, gutters, floors, replacement of | | | | could be deducted from taxes as long as these are |
| broken windows, doors and fixtures, maintenance of | | | | acquired for the rental property services and activities, |
| landscaping and other utilities. | | | | along with proper certifications. |