I have worked in the real estate industry for more than 15 years so I know what to do to maximize the many deductions that being a realtor provides you and to show you the best tax strategies.

As an Independent Contractor, you are required to pay taxes on all commissions made. We Help Tax Relief is here to help realtors with everything from tax preparation to entity formation to help you keep more of your money. A good rule of thumb is to set aside 25% – 30% of your commissions to pay your taxes at the end of the year. Or what we suggest, every time you receive a commission check, you pay the IRS right away (online, in person, by check) and you don’t have to worry about it anymore.

For starters, here is a list of all of possible deductions you may have running a real estate business. It will go on your Schedule C.

Active Realtors should get an LLC

Why get an LLC? Every active real estate agent that close deals every year should get an LLC if only for protection purposes. You don’t have to get an LLC. You can still write off your real estate deductions on your personal 1040 form. But here are the main benefits to having an LLC:

1. This protects your personal assets from business related lawsuits that may be the result of a real estate transaction.
2. You can open up a business bank account and apply for business-only credit cards. This helps keep your personal and business expenses separate. This makes it easier to organize your expenses.
3. Gives appearance of being a professional. Which you are.

We can help you with Entity Formation for your real estate business. The fee is $750 for an EIN (Employer Identification Number) and LLC.

Are you ready to be an S Corp?

If you consistently make $70,000 a year or more , you should consider upgrading the LLC to an S Corp.

Let us help you with the process. Give us a call at 562-358-9212. Let us be your Tax Pro when it comes to your real estate business.