What is the principal business code for rental property?

[IsabellaG]

Unless you are a Real Estate Professional reporting your rental property as a Self-Employed Business, on Schedule C, you don't need a business code, but if you are, you might choose 531100, for Lessors of Real Estate and Dwellings.

[loonymainer]

531100 is not a valid NAICS code: <a rel="nofollow" target="_blank" href="https://www.census.gov/cgi-bin/sssd/naics/naicsrch">https://www.census.gov/cgi-bin/sssd/naics/naicsr...>

[drdantru]

I am not a real estate professional. I got an error trying to file my turbotax return because I need a business code in schedule C for a one time insurance reimbursement for lost rent. I have never put in a code before. I can not find any help on this, what code is correct for a non professional insurance payment for lost rent? Thanks for any help or advice. 

[drdantru]

what if I am not a real estate professional? I received an insurance 1 time payment for lost rent. I tried to file my turbotax return and got an error because no code in schedule C for the payment. is 99999 OK? I don't want a red flag and problem.

[PattiF]

Yes, you can use 999999 for the business code. Since this is not an ongoing business for you, code 999999 will be good. This will not cause any red flags to be raised with the IRS. 

@drdantru 

[Carl]

@IsabellaG  you might choose 531100

You were off by a digit, probably due to a mis-type. Per https://www.irs.gov/pub/irs-soi/17pf_business_codes.pdf the code 531100 doesn't exist as valid. For lessors of residential buildings and dwellings, it's 531110.

[drdantru]

thanks for quick response! I'll go with 999999. 

[Carl]

I'll go with 999999.

Those numbers don't have any affect or impact on your taxes anyway. They're used mainly for statistical purposes, not only by the IRS.

I do know that in the past, if there wasn't a valid code that applied, then you use 999999. But I saw something somewhere fairly recently, that said to use 999000 instead. But like I said, I don't see how it matters really, since it does not affect on one's tax liability.

[azurinlabs]

The app itself recommends the code that doesn't exist. I had to input it manually to 531110 for a property that I am renting.