When it comes to taxes, rental property owners need a strategy to stay organized year-round. Tax deductions help landlords reduce their tax liability and maximize the ROI on their real estate investments.
Azibo helps to ensure a stress-free tax season while allowing you to take full advantage of the real estate tax benefits for independent landlords. Here are some ways that Azibo helps you make the most of tax savings.
- Expense management
Real estate investors can deduct a range of expenses to reduce their tax liability. Rather than manually reviewing transactions from multiple bank accounts at the end of the year, Azibo helps you track and categorize expenses in real time.
Once you’ve connected your accounts and imported your transactions to Azibo, you can assign each one to a unit, property, and/or portfolio. Then use Azibo’s bulk editor, transaction splitting, and other helpful tools to tag each transaction as a specific income or expense category [link to Tips to Make Azibo Accounting Even Easier]. Azibo allows you to categorize expenses from all of your linked bank accounts — not just your Azibo bank account — and also includes tags for CapEx, which is treated differently than expenses, to help you maintain compliance [link to Accounting for Improvements and Repairs_Expense or CapEx? ].
- All-in-one rental finances
Along with accounting, Azibo offers free solutions for rent collection, banking, insurance, loans, and other property management tools. Azibo also does reconciliations, saving you time and eliminating human errors. That means you can manage your entire rental business in one platform, with one login — for free.
With everything in one place, you’ll stay organized and will no longer have to track down a year’s worth of transactions come tax season.
- Get automated rent rolls
If you collect rent online with Azibo, you can export your latest rent roll in seconds. In addition to rent totals, Azibo rent rolls include key information like owner’s name, address, unit type, number of bedrooms and bathrooms, square footage, and lease start and end dates.
- Trusted tax resources
Azibo customers also get access to accounting resources from our trusted partner network to help you further optimize your tax strategy such as:
- In addition to direct deductions, landlords may be able to reduce their tax liability by conducting a cost segregation study, which accounts for the depreciation of assets such as driveways, HVAC systems, carpeting, and more.
- Landlords who own rental properties in Texas, Arizona, and other states may want to consider tax appeals.
- Rental property owners can also file a 1031 exchange.
Landlords who want to capture all of the real estate tax benefits available to them must keep their financials organized. Azibo’s all-in-one rental property finances platform has built-in features designed specifically to help landlords prepare for tax season.
Disclaimer: This content has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for accounting or tax advice.