How to Prove Your Rental Real Estate Activities to the IRS

The i r s requires that the taxpayer keep a log of their hours of services during the year. If jamie spends 400 hours on their rentals and daren spends 100 hours, they would meet the 500 hour test. There are right and wrong ways to keep track of your time for realestate professional status. Keep copies of emails, phone calls, text messages, receipts and car mileage to prove your case in the event of an audit.