As a self-employed real estate agent, you should claim the below tax deductions to keep more of your hard-earned money.
Mileage you can deduct
Home office to property showing
Unless you have a permanent place of work to which you must commute, all miles driven between your home and a property showing or client meeting are tax deductible.
Between showings and back to home office
Miles driven between showings, and from your last showing to your home office, are tax deductible.
Miles driven to pick up work supplies, conduct a property inspection, obtain a building permit, attend a conference, or other work-related errands are tax deductible.
Expenses you can deduct
Phone & Service
If you have to use a phone for work, the purchase and monthly service bill are tax deductible!
Items that you buy for everyday use in your office, like pens, paper, postage, and notepads, are deductible!
Designing and printing business cards is deductible as a marketing expense. Just be sure to check for typos!
Food & Drink
You can deduct 100% of your meal cost from a restaurant if you are out of town for work purposes. Discussing work with an existing or prospective client? That counts too!
If you need to woo clients by taking them to the theater, sporting events, or other forms of entertainment, you can deduct half of the cost of any food and drink expenses that you incur while you're there.
Printing & Copying
Printing and copying expenses for marketing flyers and brochures or for your office records are tax deductible.
The costs of promoting your business, like online ads, signs, print, radio, and video, are all deductible!
Items that you give away to promote your business, like pens and stress balls, are deductible. Bring on the bobble heads!
Any toll fees that you pay while working are tax deductible! Just make sure they're not already being reimbursed.
If you have to pay for parking while you're working, that's tax deductible. Unfortunately, parking tickets, traffic violations, and speeding tickets are not.
Networking and staying up to date on your industry are even more important when you're self-employed. Reading materials and fees for conferences, seminars, and professional events are deductible.
Music & Paid Apps
If you pay for a music service like Spotify or Apple Music to entertain passengers while working, your monthly subscription fee is tax deductible.
If you're traveling for work, you can deduct a percentage of your hotel and transportation expenses.
Licenses & Memberships
Licenses or memberships that help you do your job are deductible. That includes license renewal fees and membership dues to professional organizations.
Staying safe on the road is part of the job. Fees for AAA or other roadside assistance programs are tax deductible.
If you're self-employed and don't have the option to buy health insurance through an employer or spouse, you can deduct your monthly health insurance payments!
If you purchase supplies that are needed to run your business, those expenses are deductible! Just make sure these purchases would be considered typical for your industry.
Real Estate Exam
Your real estate exam fees, exam prep courses, and study materials are deductible. Hit the books!
Personal Protective Equipment
Hand sanitizer, gloves, face masks, and other safety items are essential right now for anyone actively working in the face of the COVID-19 pandemic.
Any expense that doesn't fit the other categories we've set up for you. Please make sure to add a note to keep track of them!