Homeowner · Tampa, FL · Member since 2016 · 358 posts · 65 votes
I have a full-time job and part-time as a realtor (few months during 2016). I got the 1099-MISC. To prepare the license there are expenditures, including pay for BP membership.
Can those expenses be deducted on my 2016 tax return?
If yes, this is not employee expenses because I am not the employee of the broker, which expenses should I claim on tax return?
The TurboTax seems show I can deduct it when I enter the income, but I couldn't figure out where to deduct it.
Boca Raton, FL · Member since 2015 · 249 posts · 52 votes
9y
Huping, you received a F1099 for commissions as a real estate agent? If so, file a Schedule C reporting all incime received as a real estate agent whether or not reported to you on F1099. Then you can deduct your ordinary and necessary expenses for your business as a real estate agent on schedule C.
Accountant, Enrolled Agent · Grayslake, IL · Member since 2011 · 5k+ posts · 2k+ votes
9y
Your expenses to get licensed and the training course is not deductible as it is for a new trade or business. After you became licensed etc you can look at expenses such as BP membership.
If you don't know these answers you really should not be preparing your tax return yourself. Paying for quality advice is highly worth it.
Homeowner · Tampa, FL · Member since 2016 · 358 posts · 65 votes
9y
I did tax return for myself before and paid for account also. Paid more and more tax. There is a motivation to know better my financial situation by myself through this process.
I know how enjoyable of myself to pay for professional but I have limited clue where I can do better from now.
Thanks for sharing.
Boca Raton, FL · Member since 2015 · 249 posts · 52 votes
9y
Huping, you received a F1099 for commissions as a real estate agent? If so, file a Schedule C reporting all incime received as a real estate agent whether or not reported to you on F1099. Then you can deduct your ordinary and necessary expenses for your business as a real estate agent on schedule C.
Homeowner · Tampa, FL · Member since 2016 · 358 posts · 65 votes
9y
Really appreciate Jamie Jones for your very direct answers!!
I am using TurboTax premier to work for 2016 tax return. All other parts are easy and I hope to understand my tax better.
Huiping
Boca Raton, FL · Member since 2015 · 249 posts · 52 votes
9y
No problem Huiping. Just remember, report ALL your income relating to your business as a real estate agent, and only the expenses that are ordinary and necessary for a real estate agent on the schedule C. If you have any questions, feel free to ask. Good luck!