Question about rental income

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Hello BP,

Question about rental income. How do I go about pay taxes for the rental income?

Thank you in advanced

[Steve R.]

Your question seems a little vague but I'll see if I can help. Income tax is payed on the profits you make. If your small, you can wait until the end of the year when you have your tax returns prepared and then send Uncle Sam a check. With rentals it is usually pretty minimal because of all the deductions and depreciation. The most important part is to maintain good records. I would start a separate business account that you can run everything through and also use a free on-line accounting program like Wave to keep your expenses organized by property.