Report income and expenses for each property separately using sections A, B, and C if applicable. Do not combine income and expenses for multiple properties.
If you purchased or sold a rental property during the year, please bring copies of the HUD-1 settlement statement and closing papers for each sale, purchase, or refinance.
If you are a first-time customer of Pacific Northwest Tax Service, please bring us copies of your prior 2 years of returns and depreciation schedules.
Improvements to property must be depreciated. Examples of improvements include:
o New roof, deck, fence, or siding
o New furnace, dishwasher, range, or other appliance
o Remodeling, room additions, electrical, and plumbing upgrades
o Landscaping, trees, and shrubs
o New carpet or other flooring and insulation
o New cabinetry or furnishings
Complete the “Asset Depreciation Worksheet” at the bottom of this page for all improvements made during the year. Use this rental property organizer to assist with organization of your business information and records.
If you use QuickBooks, Quicken, or Excel, you can provide us with a backup file of your records rather than completing the income and expense sections of this organizer.
If you would like our accounting staff to prepare a business profit and loss for you, we will need you to provide us with the following documents:
o Business bank statements and credit card statements for all months of the year
o Receipts for cash purchases not shown on bank or credit card statements
o Checkbook register (identify all checks by entering an expense category in the memo section)
To minimize accounting and bookkeeping errors and costs, we strongly recommend you do not mix personal and business expenses. You may transfer funds to and from your business and personal accounts.
Identify a personal withdrawal of funds from your business account as “Owner Draw”
Identify a deposit of personal funds to your business account as “Owner Contribution”
If you made payments of $600 or more during the year to an attorney or an unincorporated business such as an LLC, sole-proprietor, or landlord, you must issue Forms 1099-MISC to these businesses or individuals.