Income Tax Deductions Realtor blog photo

2017 Income Tax Deductions For Real Estate Agents

This is a list of possible income tax deductions available to real estate agents.  Be sure to review with a tax professional to ensure that these deductions apply to your tax situation.

Advertising

  • Billboard, Brochures/Flyers, Business Cards, Copy Editor Fees, Direct Mail
  • Email Marketing/Newsletters, Graphic Designer Fees
  • Internet Ads (Facebook/Google/etc.), Leads/Mailing Lists
  • Marketing Services, Networking Event Costs, Postcards
  • Print Ads: Newspapers/Magazine, Promotional Materials
  • Radio Ads, Signage/Banners, Television Ads, Web Design
  • Web Hosting & Domain Fees

Agent Improvement

  • Books (Sales Books, RE Books, etc.), Continuing Education
  • Magazine Subscriptions, Newsletter Subscriptions, Sales Training/Coaching Seminars, Textbooks/Reference Books, Trade Publications

Auto

Business Mileage (55 1/2₵ /mile) or Actual Auto Expenses

  • Car Washes
  • Depreciation/Lease Payments
  • Gas
  • Insurance
  • Interest
  • Licenses/Registration
  • Maintenance
  • Repairs
  • Tires

Both methods can deduct

  • Parking
  • Tolls

Business Travel

  • Airfare, Car Rental
  • Dry Cleaning/Laundry, Lodging
  • Meals, Parking/Tolls
  • Taxi, Train, Subway, Bus Tips

Business Meals, business Entertainment, Communication

  • Answering Services, Cell Phone Service, Fax Expenses/eFax
  • Interactive Voice Response (IVR), Internet Service
  • Office Telephone/VOIP
  • Pagers (for those of you that still have one!)
  • Toll-Free Number

Equipment

  • Briefcase, Calculator, Camera/Lenses
  • Cell Phone/Smart Phone, Cleaning Equipment (Vacuum), Computer
  • Equipment Repair, Flashlight
  • GPS
  • Hard Drives/Thumb Drives, iPad/Tablet PC/Android Laptop
  • Lock Boxes/Locksmiths/Keys, Maps
  • Printer, Scanner
  • Staging Items: Furniture, Tape Measure
  • Video Camera

Employee Wages

  • Clerical Support
  • Family Members (Kids/Spouse) Payroll/Unemployment Taxes, Sales Assistant
  • Virtual Assistant

Health Insurance Home Office

  • Insurance
  • Mortgage Interest/Rent, Property Taxes, Repairs/Maintenance, Security System Utilities

Office Expenses

Desk Fees

  • Client Refreshments (coffee, water, soda), Copier Fees
  • Janitorial Expenses, Office Furniture
  • Online Storage of Business Files, Software Bookshelves
  • Chair
  • Desk
  • Filing Cabinets, Office Supplies
  • Envelopes
  • Folders
  • Paper
  • Pens
  • Postage
  • Stationary
  • Toner/Ink Office Rent

Professional Fees

Association Dues/Fees

  • NAR
  • NAIREB
  • NAREB
  • NAEBA
  • CREA
  • Chamber of Commerce, Bank Fees
  • Bookkeeping Fees, Business Licenses, E&O Insurance
  • Franchise/Affiliation Fees, Interest on Business Purchases, Legal Fees
  • MLS Fees
  • Tax Prep Fees

Retirement

  • Defined Benefit Plan
  • Self-Employment Pension (SEP), Simple IRA
  • Solo 401k

Selling Expenses

  • Appraisal Fees, CL100 Fees
  • Client Gifts (<$25 per client), Closing Attorney Fees, Concessions
  • Courier Services/Delivery Fees, Finder Fees/Referral Fees
  • Home Repairs to sell listed property, Home Warranty
  • Inspection Fees, Notary Fees
  • Open House Expenses, Photo Editing
  • Staging Fees

Startup Expenses

  • Costs incurred before going into business. Also includes organizational costs.


***Use this checklist as a starting point for gathering your deductible expenses. Please note that there are certain rules that need to be taken into account in order to legally write off some of these expenses.