tax-deductible expenses for your rental property
The purchases that are required to operate a rental property, such as an Airbnb, are an investment that is typically tax deductible. The furniture, decor, and supplies needed for the rental property are considered business expenses, and business expenses are deductible against rental income. Without the investment, the property would not be able to generate income. With carefully curated collections from leading designers worldwide, Entire Home Interior can help you with the purchases that are essential to operate your real estate investment.
In addition to Entire Home Interior, other deductible expenses for a rental property can include property management fees, repairs, maintenance, and utilities. However, it's important to keep in mind that not all expenses are deductible, some expenses have restrictions, and specific rules and regulations vary depending on the jurisdiction in which the rental property is located. For example, capital expenditures, such as the cost of major improvements, are typically not deductible in the year they are incurred.
To take advantage of deductions, you’ll need to keep receipts, invoices, or other documentation that include the date of purchase, total cost, description, and any other relevant details. For purchases that are made online, you should be able to easily access a digital record of purchases at any time through account order history and emailed receipts. To fully understand the tax implications of investment purchases for your rental property and to take advantage of deductions, you should keep organized and detailed records, follow the rules and regulations, and consult with a tax professional or accountant.
