Skip to content
Two investors reviewing resources on a laptop

Get industry-leading resources — for free

Unlock resources for every investing strategy and stage with a free account.

By continuing, you agree to BiggerPockets LLC's Terms of Use and Privacy Policy

Followed Discussions Followed Categories Followed People Followed Locations
General Landlording & Rental Properties
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

User Stats

85
Posts
22
Votes
Carlos Lez
22
Votes |
85
Posts

1099 and tax deductions

Carlos Lez
Posted

I often run into this situation where a handyman job exceeds $600 and therefore necessitates giving them a 1099. However, these people are not too excited to receive a 1099. Complicating matters further, if you hire an unlicensed professional for some odd jobs and they don't have an ITIN or SSN how do you all deduct these expenses on your schedule E taxes for investment properties?

Most Popular Reply

User Stats

4,421
Posts
6,289
Votes
Greg Scott
  • Rental Property Investor
  • SE Michigan
6,289
Votes |
4,421
Posts
Greg Scott
  • Rental Property Investor
  • SE Michigan
Replied

Really, you should be screening your contractors like you screen your tenants.

Do they have insurance?  Get formal quotes. Get change orders in writing. Get a W4, and additionally insured before staring and a lien release before final pay.

The times I've had trouble with contractors is when I've deviated from best practices.

  • Greg Scott
  • Loading replies...