The Internal Revenue Service (IRS) requires that all landlords file specific tax forms in order to deduct expenses associated with their rental property. When it comes to rental property, the IRS has a few different forms that may be required. Specifically, Form 1040, Schedule E, Form 1065, and Form 1120S.
Form 1040 is the standard individual tax return form and is used to report income from all sources, including rental property. Schedule E is used to report income and expenses from rental property, and Form 1065 is used for partnerships and LLCs. Form 1120S is used for S corporations.
In general, you will need to file Form 1040 and Schedule E if you own and operate a rental property. If you are a partner in a partnership or LLC that owns and operates a rental property, you will need to file Form 1065. And if you are a shareholder in an S corporation that owns and operates a rental property, you will need to file Form 1120S.
The specific forms and documents that you will need to file can vary depending on the type of rental property you have, the location of the property, and the type of ownership. For example, if you are renting out a room in your primary residence, you will likely only need to file Form 1040. But if you are renting out a vacation home or an investment property, you will need to file additional forms and documents.
The best way to determine which forms and documents you need to file is to speak with a tax professional or the IRS. They can help you determine which forms and documents are required for your specific situation.