Monday Market Myth: Landlords Completing 1099s

As a landlord, the state requires all real estate work by a contractor totaling over $600 in one year must file a 1099 as an expenditure on the property. 

False: In 2010 Congress passed an inefficient law that requires landlords to report work done on the property in order to prevent tax fraud, which the law went into effect January 1, 2011.  Both Republicans and Democrats objected to the burden against property managers and landlords even including homeowners who rent out a back bedroom to help cover mortgage payments.  Instead of having to 1099 all work completed by landscapers, plumbers, painters, etc totaling over $600, landlords and property managers only have to 1099 if it is their primary source of income.

Thanks Obama for repealing that on April 14, 2011, so Hollister can continuously be a hot spot for investor.


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