Airbnb Rental Arbitrage: How Taxes Work
Arbitrage income is taxed like a business you run, not a property you own. That cuts both ways: no building depreciation, ever, but the rent check you send the landlord every month is deductible.
Read MoreArbitrage income is taxed like a business you run, not a property you own. That cuts both ways: no building depreciation, ever, but the rent check you send the landlord every month is deductible.
Read MoreEvery furnishing under $2,500 can hit your tax return as a plain expense the year you buy it. No depreciation schedule, no five-year wait. You just have to tell the IRS you are using the rule.
Read MoreDepreciation and mortgage interest are just under 70% of everything a typical rental deducts. The 2026 list, ordered by how much money each line actually moves — with the arithmetic, the safe harbors, and the rule that decides whether any of it counts this year.
Read MoreThree choices decide the number: the recovery period, the method and the convention. Get the land allocation and the in-service date right and the rest follows — including the catch-up on property you have owned for years.
Read MoreThe limit is $25,000 of stock, valued at grant. With a 15% discount that caps what you can actually spend at $21,250 — a distinction most plan documents never spell out.
Read MoreYour employer withholds 22% on a vest. If you are in the 35% bracket, that gap is yours to fund in April. On a $180,000 vest it is a $23,400 shortfall.
Read More401(k) deferrals rise to $24,500 and the IRA limit to $7,500. The change that catches people is the Roth catch-up rule, which now bites above $150,000 of prior-year wages.
Read MoreThe 2025 rewrite added tiered exclusions at three and four years and lifted the cap. What it did not change is how easily the qualification is lost.
Read MoreThe cap is $40,400 for 2026 and phases down above $500,000 of income. It also never applied to property taxes on a rental — a distinction that costs people money every year.
Read MoreReal estate professional status turns passive rental losses into deductions against wages. The two tests, the grouping election everyone forgets, and why it is not the short-term rental loophole.
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