If you own multiple properties(three or more which you have rented, should or is that a business 2 the IRS?

Answer 1

Not a business, but you do have to declare the rental income net profit.
If it's all you do (being a landlord), you'd be dumb not to report it on a schedule C, then you can take a lot more deductions for your expenses!

Answer 2

Rental income & expenses, whether it is one property or a dozen, goes on Schedule E of your Form 1040 tax return. The primary difference between rental income and a traditional business is you report business income and expenses on Schedule C and must pay self-employment (Social Security) taxes on it.

Another key difference is the amount of losses you may deduct. Unless you are considered a real estate professional by the IRS you are limited to no more than $25,000 in passive activity losses from rental income. A traditional business on Schedule C has no such limitation.

Answer 3

Only if property management has become an occupation otherwise you are just looking after investment property. If you owned an apartment building and functioned as the live in manager that would become a business.

Answer 4

It's not necessarily a business to the IRS, but you still have to report income and expenses and pay tax on any profits - that would be true even if you just had one rental property.

Answer 5

Your rental property is reported on Schedule E rather on Schedule C for a business. You would get the same deductions either way.

Answer 6

Three properties all rented. You got a hotel on St. James Ave. and that my friend is a business!

Answer 7

Its a business if your the manager

Answer 8

can you take business deductions like advertising...yes. do you need a business number...no.