Examples of Real Estate Business Deductions
- Accounting and Legal Fees
- Advances when repayment is not expected
- Advertising and Self-Promotion
- Answering Services
- Auto Expenses – either actual cost based on % of business use of gas, insurance interest, repairs, maintenance or Standard Mileage Rate for business miles 2006-$.445/mile * Auto Lease Cost *
- Briefcase
- Business Cards, Stationary
- Business Civic Club Dues
- Business Educational Tapes
- Business Meals & Entertainment *
- Business Novelties/Handouts
- Business Publications & Books
- Business Telephone
- Business Use of Home Phone and Cell Phone
- Calculator
- Camera, Film, Repairs, Developing (but only to extent of Business use)
- Car Signs
- Chamber of Commerce Membership
- Cleaning and Laundering of Uniform or Career Apparel
- Computer Hardware/Printer
- Computer Software
- Computer Supplies
- Conventions/Conferences (hotels, meals, and travel must be separately listed) *
- Cost of obtaining credit reports of customers
- Customer Promotional Gifts *
- Depreciation of Office Furniture, Fixtures, File Cabinets, etc.
- Desk Space Rental
- Farming Handouts and Brochures
- E & O Insurance
- Finance Charges on Business Credit Card Company Loans
- Flashlight, Tape Measure
- GRI Courses (post-license only)
- Leased Equipment
- Lock Boxes and Keys
- Magazines for Waiting Room (Brokers)
- Management Courses
- MLS Fees
- Name Badges
- Name Riders
- Newspapers used in Business
- Office Supplies
- Open House Signs
- Overnight Business Travel (lodging, airfare, meals, tips, valet services) *
- Paging Devices, Batteries, and Repairs
- Parking and Taxi Fees for Classes, Conferences and out of town travel
- Pay phone for business
- Personal Assistant Expense
- Photocopies/Photos
- Property Damage not covered by insurance
- Portfolios, Listing Manuals
- Postage, Delivery Charges
- Professional Journals
- Real Estate License
- Real Estate Update and Elective Courses (continuing education)
- Realtor Conventions
- Realtor Dues
- Realtor Meetings & Business Meetings
- Rental of Office Space, Storage Space, Equipment and Machinery
- Repairs and Maintenance of Business Property
- Royalty Fees
- Safe Deposit Box
- Self-Employed Health Insurance Premiums *
- Sign Installation
- Small Tools
- Supplies
- Thank-You Notes
- Typing Services and Secretarial Expenses
- Uniform (clothing containing Company logo)
* Limits Apply: The above list of deductible expenses is not a complete list. Generally expenses that can be deducted from gross income are ordinary and necessary expenses of conducting a trade or business that are paid or incurred in the tax year. Please discuss your expenses with your tax preparer to determine if they are tax deductible business expenses.
