5 Tax Deductions Every Corporate Housing Owner Should Know
Admin
Published Date: 2025-07-30
Tax season doesn’t have to be stressful, especially if you’re a savvy corporate housing owner. With the proper knowledge, you can turn everyday property expenses into real savings. Whether you own one unit or several, here are five tax deductions you should be aware of to reduce your tax burden.
1. Depreciation of Property
Your rental property is considered a long-term asset, which means you can depreciate its value over time, typically over 27.5 years for residential real estate. Depreciation is a non-cash deduction, making it a powerful tool for reducing your taxable income without impacting your actual cash flow.
2. Furnishings and Appliances
Corporate housing renters expect fully furnished units. The good news? Beds, sofas, TVs, kitchenware, and even small appliances like toasters and coffee makers can often be written off as business expenses. Depending on the item and cost, these may be fully deductible in the year of purchase or depreciated over time. Replacing worn or outdated furniture can also be a wise investment that benefits both your guests and your tax return.
3. Utilities and Services
If you cover electricity, gas, internet, or cleaning services as part of your furnished rental offering, those costs are deductible. Keep detailed records of monthly bills and any service contracts to support your claims when filing your taxes. Even seasonal expenses like snow removal or HVAC servicing can qualify if tied to your rental operation.
4. Repairs and Maintenance
Routine upkeep, such as painting, plumbing repairs, or landscaping, can be deducted as long as they’re considered ordinary and necessary for maintaining the property. Keep in mind that improvements (like remodeling a kitchen) must be depreciated, not deducted all at once.
5. Business and Travel Expenses
Did you travel to check on your property or meet with contractors? Mileage, lodging, and meals related to your rental business may qualify as deductions. Additionally, software subscriptions, office supplies, and advertising costs (including listings on platforms like CHBO) fall under deductible business expenses. Even a portion of your home office expenses may be deductible if you manage your rental operations from home.
Stay Compliant and Organized
Understanding corporate housing tax deductions can save you thousands each year, but they must be documented correctly. Work with a tax professional who understands furnished rental taxes to make the most of every opportunity. With thoughtful planning and accurate records, your rental can stay profitable long after tax season ends.
