Most Common Tax Deductions for Landlords

Here are some of the most common and useful deductions a landlord can benefit from while renting out properties:

1) Interest.  You can write off your mortgage interest payments along with any loans used to improve the property or credit card expenses thereof.

2) Depreciation and Repairs.  The former can be deducted on a portion of the property over time (search segmented depreciation) while the latter is deductible in the year it took place. i.e. If you’ve painted, fixed leaks, or replaced the floors in the given year you can fully deduct it.

3) Travel.  Tax deductions are available every time you travel for the purpose of your rentals.

4) Employees.  Deduct wages of employees anytime you hire for contracting work etc.

Check out more deduction tips and ideas here.

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