Navigate rental property taxes and 1099 forms with ease. Complete Form IT-214, Claim for Real Property Tax Credit for.Fill in the oval that corresponds to your filing status on your. Business Tax Application (Form DR-1). You must complete a separate application for each commercial real property location. Step-by-step delinquent tenant eviction process, step-by-step removal of tenant eviction process, all completed forms are filed with the Clerk's Office. Timely submit the tangible tax return to the Property Appraiser's Office. Or, complete the Tangible Change of Information Form. The short answer is that rental income is taxable and will typically be taxed as ordinary income at the rate assigned to your current tax bracket. If the vehicle is leased, you will need a copy of your lease agreement.