Overview

Valzotra organizes expenses into 15 categories that align with the line items on IRS Schedule E (Supplemental Income and Loss). Each category has subcategories for finer classification. Using the correct category helps you and your CPA map expenses to the right line on your tax return and reduces the work needed at tax time.

How it works

When you create or edit an expense, select a Category from the dropdown. Once a category is selected, a Subcategory dropdown appears with options specific to that category. Subcategories are optional — if none of the specific options apply, you can leave it blank or select "Other."

Below is the complete list of categories and their subcategories.

Advertising

Costs to market your rental listing. Maps to Schedule E, Line 5.

  • Online Listing Fees
  • Photography / Videography
  • Print / Signage
  • Other

Auto & Travel

Transportation costs related to managing your rental properties. Maps to Schedule E, Line 6.

  • Fuel
  • Parking & Tolls
  • Rental Car
  • Airfare
  • Lodging
  • Other

Cleaning & Maintenance

Regular upkeep and cleaning costs. Maps to Schedule E, Line 11 (Repairs) or other applicable lines.

  • Cleaning Service
  • Cleaning Supplies
  • Pest Control
  • Lawn & Garden
  • Pool / Spa
  • Other

Commissions

Fees paid to platforms or managers for booking services. Maps to Schedule E, Line 7.

  • Platform Fees (Airbnb, VRBO)
  • Property Manager
  • Other

Insurance

Premiums for property-related insurance policies. Maps to Schedule E, Line 9.

  • Property Insurance
  • Liability Insurance
  • Umbrella Policy
  • Other

Legal & Professional Services

Fees for attorneys, CPAs, consultants, and similar professionals. Maps to Schedule E, Line 10.

  • Legal / Attorney
  • Accounting / CPA
  • Consulting
  • Other

Management Fees

Costs for property management services and software. Maps to Schedule E, Line 12.

  • Property Management
  • Software / PMS
  • Other

Mortgage Interest

Interest paid on loans for rental properties. Maps to Schedule E, Line 13.

  • Mortgage Interest (Banks)
  • Other Interest

Repairs

Costs to fix or restore property components to their original condition. Maps to Schedule E, Line 14.

  • Plumbing
  • Electrical
  • HVAC
  • Appliance
  • Structural
  • Painting
  • Other

Supplies

Consumable items used in the rental operation. Maps to Schedule E, Line 15.

  • Guest Amenities
  • Linens & Towels
  • Kitchen Supplies
  • Office Supplies
  • Hardware / Tools
  • Other

Taxes

Property taxes and occupancy taxes related to the rental. Maps to Schedule E, Line 16.

  • Property Tax
  • Occupancy / Lodging Tax
  • Other

Utilities

Recurring service costs for the property. Maps to Schedule E, Line 17.

  • Electric
  • Gas
  • Water / Sewer
  • Internet / WiFi
  • Cable / Streaming
  • Trash
  • Other

Furnishing & Equipment

Furniture, appliances, and other items purchased for the property. May be depreciable depending on cost and useful life.

  • Furniture
  • Appliances
  • Electronics
  • Decor
  • Other

Depreciation

Non-cash deductions for the cost recovery of your building, improvements, and equipment. Maps to Schedule E, Line 18.

  • Building
  • Improvements
  • Equipment
  • Other

Other

Expenses that do not fit any of the above categories.

  • Other

Limits & requirements

  • Category selection is optional but strongly recommended for tax documentation.
  • The category list is fixed and cannot be customized. If a category does not fit your expense, use "Other" and add detail in the description field.
  • Subcategory selection is optional. It becomes available after you select a category.
  • Bulk editing allows you to reassign the category for multiple expenses at once from the list view.

FAQ

Do I have to use these categories? No. Category is an optional field. However, using the built-in categories saves significant time when preparing your tax return because they map directly to IRS Schedule E line items.

Can I create custom categories? No. The category list is fixed to maintain alignment with IRS form line items. Use the "Other" category and the description field for expenses that do not fit the standard categories.

What is the difference between Cleaning & Maintenance and Repairs? Cleaning & Maintenance covers routine upkeep — scheduled cleaning, pest control, lawn care. Repairs covers fixing something that is broken or damaged — a leaking pipe, a faulty outlet, a broken appliance. The IRS treats these differently in some cases, so accurate classification matters.

Where do software subscriptions go? Software related to managing your rental (like a PMS or booking tool) falls under Management Fees > Software / PMS. General business software (like accounting tools) may fall under Legal & Professional Services > Accounting / CPA or Other, depending on its purpose.