Rental Income vs. Self-Employment Tax: A Tax Season Breakdown
In the world of real estate investing, tax efficiency is everything. One of the most common questions landlords ask—especially new ones— do you pay self employment tax on rental income. The short answer: not usually. But the reality gets more complex as your rental operation scales. The key factor is how active the landlord is in managing the properties. If you’re simply collecting rent and paying for maintenance through a property manager, you're likely in the clear. The IRS doesn’t treat you as being in the "business" of providing substantial services. But if you're hands-on—handling maintenance, marketing, tenant screening, even offering services like cleaning or Wi-Fi—things change. To get more information visit here #doyoupayselfemploymenttaxonrentalincome
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