What are the tax implications of property management?

What are the tax implications of property management?

Property management can have various tax implications, including deductions for expenses and income reporting. Would you like to know more about specific deductions?

Yes, what expenses can I deduct?

You can typically deduct expenses like repairs, maintenance, property management fees, and depreciation. Do you want details on any specific expense?

Tell me more about depreciation.

Depreciation allows you to deduct the cost of the property over time. It's usually spread over 27.5 years for residential properties. Would you like to know how to calculate it?

Yes, how do I calculate depreciation?

To calculate depreciation, divide the property's cost basis by 27.5 years. For example, if your property cost $275,000, your annual depreciation would be $10,000.