Renting property: All property owners in Oakland who wish to rent out their property must file and obtain a business tax certificate. Paper registration forms are also available here.Grounds for filing a tenant petition are: Petition forms are on the RAP website or in the Housing. You must pay tax on any profit from renting out property. For California, rental income and losses are always considered a passive activity. The answer to your question is yes; however, it has to be stated in the terms of the rental agreement. Fill in the oval that corresponds to your filing status on your. NOTE: In the case of capital improvement increases, filing the Owner Petition for Approval of. "Owners who fail to comply with the requirements of Oakland's Tenant Move Out Agreement Ordinance (O. How is rental income taxed?