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Curlygirl
New Member

My property manager deducts her fees and tenant fees before forwarding us our portion but in 2018 the property manager did not deduct some tenant fees and she included that in the 1099 form, can I request her to not include those fees in my 1099 form?

 
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2 Replies

My property manager deducts her fees and tenant fees before forwarding us our portion but in 2018 the property manager did not deduct some tenant fees and she included that in the 1099 form, can I request her to not include those fees in my 1099 form?

Talk to the manager so you are on the same page ... the 1099 should reflect only the money you actually received  after costs are removed  OR  the total income on the property before any fees are paid.  Having a mixed bag is difficult for both of you.   

 

On the Sch E you really should enter the total income ( before any reductions) received on the property and then ALL expenses paid of any kind are deductions on the Sch E along with the depreciation.

Carl
Level 15

My property manager deducts her fees and tenant fees before forwarding us our portion but in 2018 the property manager did not deduct some tenant fees and she included that in the 1099 form, can I request her to not include those fees in my 1099 form?

The 1099-MISC should reflect the money that you actually received in box 1. You need to talk with the property manager to get you both on the same page.

For now, enter the 1099-MISC *exactly* as printed. Then in the Rental Expenses section you will enter all expenses including the fees you paid to the property manager (which were in reality, withheld by the property manager.)  That should get your "reportable" rental income to the correct amount.  But overall, if you have a mortgage on the property you'll find in the end that none of your rental income will be taxable and you'll have excess losses to carry over to next year.

 

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