Small Business Taxes

Real Estate Agent and Broker Tax Strategies

Updated 2025-10-28

Tax planning for real estate agents and brokerages: vehicle logs, marketing expenses, broker splits, and retirement options.

  1. Income & broker splits
  2. Vehicle & travel
  3. Marketing & staging
  4. Entity & payroll
  5. Retirement & benefits

Income & broker splits

Reconcile commission statements; track referral fees and desk fees.

Vehicle & travel

Maintain detailed mileage logs and appointment books.

Marketing & staging

Deduct signage, photography, ads, and staging materials as ordinary and necessary.

Entity & payroll

Consider S‑Corp election when profits justify salary/distribution planning.

Retirement & benefits

Solo 401(k) or SEP can shelter variable income; plan around peak months.