Landlord CPA discusses Schedule E and Form 8825 | landlord tax

Landlord CPAs view Schedule E and Form 8825 as the same beast. The difference? Schedule E is for landlords who didn’t setup a Corporation or Partnership for their rental real estate. Your LLC, Corporation or Partnership files Form 8825 with Form 1120-S or Form 1065. I think Schedule E appears intimidating because it’s used for other IRS purposes besides rental property. For example, Schedule K-1 of Form 1120-S also appears on Schedule. If you use tax software look for a Schedule E rental property worksheet.

Past Landlord Tax related Posts for Form 8825 and Schedule E

This website as dozens of posts on landlord taxes, rental property, Form 8825 and Schedule E. Here a few of them. Please find others in the drop down Forms and Category boxes in the right sidebar.

• Sources of self-help for Form 8825 and Schedule E preparation.
• IRS red flags on Form 8825 and Schedule E.
• Repairs vs. Capitalization rules for 2014. Includes unique 2013 rental property tax positioning strategies.
• Rental property gains on Form 4797.
• A rental property gain example.
• Potential advantages of setting up a rental property LLC.
• Cancelled debt on rental property.

Why Might you need a Landlord CPA?

You might not. But here are some reasons why I can impact your bottom line.

• I have rental property in my extended family, I have to stay current or else! I read the Audit Technique Guides from the IRS, review rental property tax court cases, IRS Notices (like 2012-73 which delineates the 2014 expense vs. capitalization rules, IRS instructions etc.
• I proactively look for red flags on Schedule E or Form 8825.
• Because of this website I do lots of rental property work.
• I was a Controller for a construction firm with over 30 real estate LLCs.
• I was a 52 unit residential manager while I was in college. I’ve been a renter too.
• Some Schedule E and Form 8825 preparation is straight forward. But it gets complicated quick, such as when you sell rental property, when you a casualty loss on rental property (like Sandy), have personal use of the rental property, incur passive losses etc.
• Own rental property in multiple States.

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