31 Tax Deductions for Real Estate Agents | Beem

NAICS code: 531210

As you’re probably aware, it’s often said that you need to invest money in your business in order to make money, and this is especially true for real estate agents, who need to spend a lot of money upfront in order to attract clients.

As an example, you might wish to pay for social media ads to promote your services, give prospective clients bonuses such as complimentary home staging, or pay for leads from sites like Zillow so that you can advertise your services more effectively. You’ll be happy to know that because these expenses are necessary to your business, you can write them off as a tax deduction because they are necessary. The list goes on and on, and they are not the only ones doing it!

We have put together a list of the most common write-offs for real estate agents that you can use to deduct your expenses.

Realtor dues
Use Schedule C, Box 27a, to write it off
Deduct any dues, fees or subscriptions to a realtor’s association or listing service.
Property promotion
Use Schedule C, Box 8, to write it off
Marketing material can be written off, from postcards, property signs to ads.
Agency commissions
Write it off using: Schedule C, Box 10
Commission fees you pay for agency representation are fully deductible.
Seminars & workshops
Write it off using: Schedule C, Box 27a
Coaching, seminars, or workshops to keep your work-related skills up-to-date.
Legal fees
Use Schedule C, Box 17, to write it off
Legal fees paid for the formation of your business or preparing your paperwork.
Desk fees
Write it off using: Schedule C, Box 10
Fees you pay in exchange for a desk at your broker’s office or in a coworking space.

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Website & hosting fees
Write it off using: Schedule C, Box 8
Squarespace, Wix, GoDaddy, and other website service fees.
E&O insurance
Write it off using: Schedule C, Box 15
Real estate agents must carry errors and omissions insurance, which is deductible.
Business card
Write it off using: Schedule C, Box 8
Count your business cards as advertising expenses if your contact information on them.
Phone, laptop, accessories
Write it off using: Schedule C, Box 27a
If you buy a phone or laptop and use it for work, it’s partially deductible.
Educational books
Write it off using: Schedule C, Box 27a
Educational books to increase your knowledge and skills are tax write-offs.
Office supplies
Write it off using: Schedule C, Box 18
Any office supplies you purchase, like pens, binders, printer ink and whiteboards.
Self-promotional
Write it off using: Schedule C, Box 8
Portfolios, business cards: write off anything you use to promote yourself.
Software
Write it off using: Schedule C, Box 18
Cost of CRM software, lead generation software, or e-mail marketing software.
Social media tools
Write it off using: Schedule C, Box 18
Write off the tools you use to create assets, schedule posts or pull analytics.

If you drive for work ...

You might spend a lot of your time zipping around town to meet clients, finish assignments and do your research among other tasks. Luckily, you can write off car-related expenses like maintenance and gas. Keep these tax write-offs in mind as a growing .

Parking
Write it off using: Schedule C, Box 27a
Parking for a meeting downtown, or any other work trip, is tax-deductible!
Tolls
Write it off using: Schedule C, Box 27a
A toll while driving to or from a work destination is tax-deductible!
Car purchase & depreciation
Write it off using: Schedule C, Box 13
If you buy a new car, you can write off part of the cost every year for five years.
Vehicle tool kit
Write it off using: Schedule C, Box 22
Flashlights, tire iron, duct tape, and other tools you may need in your vehicle are deductible.
Car insurance & registration
Write it off using: Schedule C, Box 15
Car insurance monthly fees, registration, even roadside assistance are partially deductible.
Car maintenance
Write it off using: Schedule C, Box 9
Oil changes, repairs, and regular checkups are all tax-deductible if you drive for work.

If you discuss work at a restaurant ...

Networking is a core practice of a successful and it can also be added to your tax write-offs. You likely often meet clients or people in your field at restaurants to chat about work, discuss projects and sign deals. When you do, remember to write off your business meal expenses.

🍔 Business meals
Write it off using: Schedule C, Box 24b
If you discuss work with a coworker, mentor, client, or prospective client, it’s a write-off!

If you leave town for work ...

Meeting an out-of-town client, attending a conference or networking is all part of the job. There are many reasons for you to travel for work as a busy and they can all be added as tax write-offs. They also count as business trips, so you can write off your travel costs.

Transportation
Write it off using: Schedule C, Box 24a
Planes, trains, and car rentals are all work-related travel costs that can be written off.
Travel lodging
Write it off using: Schedule C, Box 24a
When you travel for work, lodging expenses such as hotel rooms or Airbnb are write offs.
Meals while traveling
Write it off using: Schedule C, Box 24a
When you’re traveling for work, all meals are tax-deductible. Even takeout!

If you work from home ...

When you’re not busy working outside, you might spend your time working from your home as a successful and many activities count as tax write-offs. These include business plans, promotional work and coming up with new strategies. In this case, don’t forget to write off your home office expenses!

Home office furniture
Write it off using: Schedule C, Box 18
A desk, chairs, lamps, and other home office necessities are all tax write-offs.
Property repairs
Write it off using: Schedule C, Box 21
You can write off up to $2,500 for individual repairs to your property.
Power bill
Write it off using: Form 8829
Gotta keep the lights on in your home office! A portion of your electricity bill counts.
Property insurance
Write it off using: Form 8829
Whether it’s rental or homeowners insurance, you can write off a portion through your home office deduction.
Water bill
Write it off using: Form 8829
It’d be hard to work in an office without running water, huh? You water bill counts.
Wi-Fi bill
Write it off using: Schedule C, Box 25
Your Comcast bill is a tax write-off. You need internet to do your job!