Rental-property tax preparation involves more than reporting rent and expenses. Ownership structure, depreciation, passive-loss rules, repairs, improvements, refinancing, and dispositions can materially affect the return.
Rental Income, Schedule E, and Landlord Return Preparation
- Schedule E preparation;
- depreciation schedules;
- repair-versus-improvement analysis;
- passive activity issues;
- entity review;
- multi-property reporting;
- sale and exchange reporting; and
- Colorado and nonresident filing questions.
Who This Service Is For
Rental owners with one property or a portfolio can benefit from a coordinated review of property records and the owner’s return. A purchase, sale, refinance, change in use or new ownership entity is a reason to discuss the transaction before the return is prepared.
Plan the Deduction or Exchange Before Filing
Review cost segregation, rental-loss limits, and NOL carryforwards before assuming a Schedule E loss offsets other income. Owners considering replacement property can also explore DST 1031 exchange planning before the relinquished property closes.
Records to Gather
Provide prior returns and depreciation schedules, purchase and closing statements, rental-income summaries, expense records, loan statements and invoices for major work. Identify personal use, vacancies and the date each property became available for rent. Separate records for each property help make the review more efficient.
How to Start
Describe the properties, ownership structure, tax years and any notices or missing filings. The preparation scope can then address the relevant returns and unresolved record questions. If you are planning a sale or restructuring, discuss real-estate tax planning before completing the transaction.
Leaving a Rental-Property Partnership or LLC
An owner’s exit is different from a direct sale of the rental property. Review leaving an LLC that owns rental property and suspended passive losses on a partnership exit. Ownership, debt, and activity grouping can affect the result.
Related Rental Property Tax Resources
Rental-property taxation often intersects with Colorado-source income, ownership structure, depreciation, and broader real-estate planning.
Discuss Your Tax Preparation and Planning Needs
Work with a Colorado attorney and CPA for coordinated business, individual, rental, and planning services.
The $500 Tax Attorney Consultation includes up to one hour of total attorney time for document review, analysis, preparation, and the telephone consultation combined. Tax preparation, filings, and ongoing representation require a separate engagement.
U.S. Tax Preparation for Foreign Rental Property
For properties outside the United States, see foreign rental property tax preparation for ownership, account, and international filing considerations.