If a landlord is receiving income from the rental of a dwelling unit, there are rental expenses they may deduct on their tax return. These deductions apply to mortgage interest, property taxes, operating expenses, depreciation, and/or repairs.
Landlords can deduct the ordinary and necessary expenses for managing, conserving, and maintaining their rental property. Ordinary expenses are those that are common and generally accepted in the business. Necessary expenses are those that are deemed appropriate, such as interest, taxes, advertising, maintenance, repairs, property management, utilities, and insurance.