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Level 1
posted Mar 13, 2021 1:48:02 PM

If I own rental property in another state, can I include the cost of filing a non-resident state tax return in my rental property expenses?

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1 Best answer
Expert Alumni
Mar 13, 2021 2:20:11 PM

Yes. For the Federal portion, you would normally be able to include the up-charge of Premier over Deluxe. However, since the only reason you are buying the extra state is for the rental, you can take the entire charge.

3 Replies
Expert Alumni
Mar 13, 2021 2:20:11 PM

Yes. For the Federal portion, you would normally be able to include the up-charge of Premier over Deluxe. However, since the only reason you are buying the extra state is for the rental, you can take the entire charge.

Level 1
Mar 14, 2021 6:27:08 AM

Washington, DC requires rental property income to be reported on a D-30 Unincorporated Business Franchise Return.  The minimum tax due on this return is $250.  Can I include the $250 tax as an expense for the DC property?

Expert Alumni
Mar 14, 2021 8:14:46 AM

Yes. Although the text below applies to small business, it also applies to rental property.

 

Taxes - You can deduct various federal, state, local, and foreign taxes directly attributable to your trade or business as business expenses.

 

Tax deduction