Request Legal Tennessee Wedding Planning Forms For Free

Next, the rental property owner will add up their deductions to see if they are more than the standard deduction. If not, the property owner will use the standard deduction. In this way, you can still take the standard deduction while getting the benefit of property taxes (to offset rental income).

One of the tax benefits of real estate investing is that your mortgage interest from a rental property loan is considered a business expense which is deductible on Schedule E (Rental Property Income and Expenses). This mortgage interest deduction effectively lowers your taxable income on your 1040 (personal) return.

As a general rule, you may deduct interest on money you borrow for a business or investment activity, including being a landlord. A landlord's most common deductible interest payments are: mortgage interest payments to banks and other financial institutions on loans used to acquire rental property.

What Deductions Can I Take as an Owner of Rental Property? If you receive rental income from the rental of a dwelling unit, there are certain rental expenses you may deduct on your tax return. These expenses may include mortgage interest, property tax, operating expenses, depreciation, and repairs.

Keep in mind that each Tennessee county may have its criteria, so double-check with your local county clerk. You and your future spouse must obtain a marriage license from the local county clerk's office if you wish to marry in Tennessee.

A valid driver's license, government issued photo ID or passport. Proof of social security number: If you have been issued a social security number, you must provide either a social security card, W-2 or tax document with the full social security number listed.