Rental Property Tax Records: What to Discuss With Your CPA

Keep a complete record of rental income, expenses and personal use. A deduction depends on the facts and tax rules; an expense is not automatically deductible because it relates to a condo.

Depreciation

Residential rental buildings are generally depreciated over 27.5 years under the general system. Land is excluded. Basis, placed-in-service dates, personal use and other rules affect the calculation.

Interest, HOA Costs and Assessments

Mortgage interest, operating costs and certain condo fees may qualify as rental expenses, subject to allocation and limits. Improvements and capital assessments may require capitalization rather than an immediate deduction.

Other Records to Keep

• Rent receipts, lease documents and vacancy dates
• Tax bills, insurance, utilities and repairs
• Brokerage, management, legal and accounting invoices
• Improvement costs and supporting travel records
• Days of personal use and expenses shared with rental use

Questions for Your CPA

Ask about passive-loss limits, personal use, depreciation and any business-income deduction that may apply. This checklist is informational, not tax advice.

Source: IRS Publication 527, Residential Rental Property. Checked October 26, 2026.