Are Property Management Fees Tax Deductible?

Did you know: By law, our property management organization is required to issue out owner and vendor 1099 statements by January 31st of each year. However, we are NOT required to issue out cash flow statements. Even though the IRS deems the 1099 sufficient, producing and sending out corresponding cash flow statements (free of charge) is another area of service that sets us apart.

YES! Property Management fees are indeed deductible.

We are not accountants, tax experts, etc and always ask that you verify with your professional of choice, but if you have a third party property management company handling the operational aspect of your rental property, you can indeed write off all of the expenses you pay to your property management firm when it comes time to file your taxes. Leasing fees, property management fees, and any other fees you incur with your property manager can be written off as a business expense! Woohoo. Deductions can be nice.

For those of you who are in higher percentage tax brackets and could write some of these fees off (ex: 100 monthly management fee with tax benefits is actually 70) this could be a really good benefit.

There are a slew of other items that can be deductible. You can read more about this. (Read more about this).

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

How can New Braunfels or its surronding area’s investment property owners, take advantage of these key tax benefits, by calling River Tree Property Management at 210-517-2617. Our team can help walk you through the steps necessary to make sure you’re getting the most out of your rental investment. Start Today!