There are many ways that Property Managers Help at Tax Time!
Wondering how to maximize tax deductions? Most landlords know that expenses related to leasing their property are tax-deductible. Yet most don’t do the recordkeeping that would allow them to maximize their deductions. Therefore, the tax benefits of working with a professional property manager can be substantial. Not only is the property manager’s fee tax-deductible–but an important part of their job is to keep records of all deductible expenses. Check out this video from our Northern Virginia Landlords 101 series to learn our pointers.
Here’s how the tax recordkeeping works at WJD Management.
First, we provide homeowners regular electronic statements that include both rental income and an itemization of all of your expenses. The summary, in the form of a PDF document, can be printed out or emailed to an accountant or tax preparer after the end of the calendar year. Or, if you do your own taxes, you can refer to the statement to enter the numbers yourself.
Second, all account information–including income and expense statements–is available electronically through the secure client portal of our website. (While most property management companies now offer online client portals, ours is pretty different. We have co-developed a proprietary system that does not use a third-party vendor or put our clients’ information in the cloud. Here’s some more info about the system we use, if you’re interested.) Anyway, any time a homeowner logs into our secure website, he or she can see the statement dating back to the beginning of their account (as far back as 1999).
If you would like to learn more about WJD Management, please review our comprehensive Management Program guide. If you are ready to rent your home, feel free to take advantage of our exclusive FREE Rental Market Analysis. Finally, don’t forget to connect with us on social media! Follow us on Facebook, Twitter, LinkedIn, Instagram, and Pinterest for tips, ideas and updates.