Many real estate agents work only part time, or work at real estate for a while and then leave the field. If you’re in this situation and you don’t earn a profit from your real estate activity, the IRS could claim that you are not really in business. Let’s go over how to handle this, as well as some other important real estate tax tips.
Tags: Real Estate
Many real estate agents and brokers own rental properties or think about acquiring them. Sometimes, it works out amazingly but other times, it leads to losses. These losses can lead to a rental property tax deduction on IRS Schedule E form. But, you need to understand the IRS restrictions on rental losses.
Being a real estate agent can be a gratifying profession because you’re helping people find a home. But if you’re an independent contractor like most real estate agents, tax season can be quite a pain. Let’s dive through some real estate agent tax deductions that you shouldn’t overlook.