What are the key tax deductions available for rental property owners in 2022?

Rental property owners can take advantage of various tax deductions that significantly reduce their taxable income. Here are some key deductions to consider for the year:

• Depreciation: The IRS allows property owners to depreciate the value of their rental properties over time, typically 27.5 years for residential properties, which provides a substantial yearly deduction.
• Maintenance and Repairs: Costs incurred for repairs or maintenance directly related to the property can be deducted from your rental income, making necessary upkeep more affordable.
• Property Management Fees: If you hire a property manager, their fees are fully deductible, allowing you to maintain your investment without absorbing those costs.
• Utilities: Any utilities that you pay on behalf of your tenants can also be deducted, enhancing your return on investment.
• Insurance Premiums: The cost of insurance for the property is tax-deductible, providing further financial relief.

As tax laws can change, it's recommended to consult with a qualified CPA to ensure you’re aware of all available deductions and remain compliant with the latest regulations.