Outdoor pool overlooking panoramic hillside and valley scenery.

NOV 2025 HIGHLIGHTS

Healdsburg Activities, Healdsburg Family Friendly, Local Activities, Newsletters, Things to Do in Healdsburg CA, Vacation Planning / By

STR Owners: Key Tax Considerations as 2025 Wraps Up

As 2025 ends, STR owners face evolving tax laws, increased IRS scrutiny, and tighter reporting standards. Clean, timely financial data is essential for strategic tax management.

Key 2025 Trends

  • Data Integrity Matters: Accurate bookkeeping simplifies STR income, W-2 wages, and other revenue tracking while building lender and auditor confidence.
  • IRS Scrutiny Intensifies: Higher audits target high-income individuals and rental property owners. Watch STR reporting, 1099-Ks, and ERC claims.
  • Big Beautiful Bill Impacts: Permanent 20% QBI deduction, higher estate tax exemptions, and restored 100% bonus depreciation benefit STR owners investing in upgrades or expansion.
  • Year-End Actions
  • Reconcile STR accounts monthly: bookings, fees, mortgage interest, property taxes, TOT.
  • Review W-2 benefits and retirement contributions.
  • Apply 100% bonus depreciation on eligible improvements.
  • Meet with your tax advisor to model law changes and optimize deductions.

Looking Ahead to 2026

  • Treat financials as strategic tools for lenders, investors, and audits.
  • Make tax planning proactive; time income and deductions wisely.
  • Use rolling forecasts to anticipate seasonal revenue and plan investments.

For detailed STR tax guidance, visit the IRS Rental Income page.

Mark your Calendar