Real Estate Professionals/Rental Property Tax Services
The IRS determines a real estate professional as a person who spends more than one half of his or her working time in the rental business. “The rental business” includes:
- Property management
- Property acquisition
- Property construction
- Property development
- Anyone that spends in excess of 750 working hours every year working on their real estate rental properties.
Understanding the taxes for real estate professionals and their impact on your profit can be minimized with the help of our real estate professionals / rental property tax services, and asking yourself the following questions:
- Do you, in fact, really own real estate that you’re either renting out at the moment, or plan on doing so in the near future?
- If you are renting out your real estate, what kind of an investor are you?
- Are you a real estate professional?
- Are you a passive investor?
These questions, and essentially their answers, offer an understanding that if such investments exist on your part, they offer deductions that could be used to reduce the income tax on your profits, in addition to having potential for capital and income appreciation on an ongoing basis.
Our real estate professionals / rental property tax services at Braj Aggarwal, CPA, P.C. can assist you in understanding the tax law definitions and instructions for the real estate industry. Our tax professionals will guide and enlighten you on the qualifying deductions to your real estate and rental property investments.