Disclaimer: Valzotra does not provide tax, legal, or accounting advice. The information in this article is for educational purposes only and is not a substitute for professional guidance. Consult a qualified tax professional before making decisions based on your specific situation.
Overview
Every work log entry requires an activity type (category) that describes the kind of work you performed. Valzotra provides 15 activity types that cover the range of tasks STR hosts typically perform. Using the correct category makes your records easier to review at tax time and helps your CPA assess which hours qualify for material participation and REPS.
How it works
Select an activity type from the Category dropdown when creating or editing a work log entry. Below is the complete list with descriptions of what each type covers and notes on IRS qualification.
Cleaning
Preparing the property for guests or cleaning after a stay. Includes scrubbing, vacuuming, laundry, restocking consumables, and deep cleans. This is one of the most commonly logged activities for STR hosts. Generally qualifies for material participation.
Maintenance
Preventive upkeep and minor repairs. Includes HVAC filter changes, smoke detector battery replacement, caulking, touch-up painting, appliance maintenance, and winterization tasks. Generally qualifies for material participation.
Admin
Administrative and organizational work related to your rental business. Includes bookkeeping, updating listing descriptions, responding to reviews, managing calendars, coordinating with co-hosts, and organizing records. Generally qualifies, though purely investment-related analysis may not.
Guest Comms
Communicating with guests before, during, and after their stay. Includes answering booking inquiries, sending check-in instructions, responding to questions during the stay, and handling post-stay follow-up. Generally qualifies for material participation.
Procurement
Purchasing supplies, furnishings, and equipment for the property. Includes shopping for linens, guest amenities, kitchen supplies, cleaning products, and replacement items. Generally qualifies when the purchases are for operational use.
Travel
Time spent traveling to and from your rental properties for operational purposes. Includes driving to the property for inspections, meeting contractors, performing turnovers, or handling emergencies. Generally qualifies when the trip's primary purpose is property management work.
Marketing
Activities to promote your rental listing. Includes creating or updating listing photos, writing listing descriptions, managing social media accounts for the property, creating a direct booking website, and running advertising campaigns. Generally qualifies for material participation.
Inspections
Walk-throughs and property condition assessments. Includes pre-check-in inspections, post-check-out inspections, seasonal property assessments, and documenting property condition with photos. Generally qualifies for material participation.
Accounting
Financial management tasks specific to your rental business. Includes reconciling bank statements, categorizing expenses, preparing financial reports, meeting with your CPA about rental operations, and filing occupancy tax returns. Generally qualifies when directly related to rental operations.
Photography
Taking photos or videos of your property for listing use. Includes staging, shooting, editing, and uploading. May also include coordinating with professional photographers. Generally qualifies for material participation.
Landscaping
Outdoor maintenance and improvement. Includes mowing, weeding, pruning, mulching, planting, and snow removal. Generally qualifies for material participation.
Check-in / Check-out
In-person guest interactions at the start or end of a stay. Includes meeting guests for key handoff, property orientation, walk-throughs at departure, and handling early/late check-in or check-out requests. Generally qualifies for material participation.
Furnishing
Setting up or refreshing the property's furnishings and decor. Includes assembling furniture, hanging artwork, staging rooms, replacing worn items, and seasonal decor changes. Generally qualifies for material participation.
Insurance
Time spent managing insurance for your rental properties. Includes shopping for policies, filing claims, meeting with insurance agents, and documenting property condition for coverage purposes. Generally qualifies when directly related to rental operations.
Other
Any rental-related work that does not fit the categories above. Use the description field to clearly explain what the work was and how it relates to your rental activity. Qualification depends on the specific activity — describe it clearly so your CPA can make the determination.
Limits & requirements
- You must select exactly one category per work log entry. You cannot assign multiple categories to a single entry.
- If you performed two different types of work in one session, create separate entries for each type with the appropriate hours split.
- The category list is fixed and cannot be customized.
- Team members with the cleaner role can only log entries under the Cleaning category. Managers and admins can log any category.
FAQ
What if my work does not fit any category? Use "Other" and write a clear description of what you did. Your CPA can help determine if the hours qualify for material participation.
Does the IRS care which category I use? The IRS cares about the substance of the work, not the label in your software. However, consistent and accurate categorization makes your records easier to review and demonstrates organizational rigor. Miscategorized entries may raise questions during an audit.
Can I change the category of an existing entry? Yes. Edit the work log entry and select a different category. You can also use bulk editing from the list view to reassign categories for multiple entries at once.
Are all categories equally valid for REPS hours? No. The IRS distinguishes between active operational work and passive investment activities. Categories like Cleaning, Maintenance, Guest Comms, and Inspections are strongly associated with active participation. Categories like Admin and Accounting may receive more scrutiny depending on what the specific work entailed. Always describe the activity in detail.