Ask Texas REALTOR®

Q   I’m getting ready to file my 2002 federal income taxes. Are my REALTOR® dues tax-deductible?

A  Eighty percent of your $87 annual TAR membership fee–$70–is tax deductible. You can also deduct $51 of your $64 NAR member dues–approximately 80%–as well as the entire $20 special assessment for the NAR Public Awareness Campaign.

The full amount of dues you paid is not tax deductible because the Tax Reform Act of 1993 made any funds used for lobbying state or federal governments nondeductible. Thus, TAR calculates that $17 of each member’s dues went toward state lobbying, while each NAR member paid $13 toward lobbying the federal government.

Check with your local board to determine how much, if any, of your local dues you can deduct.

Have a question about finances, licensing, technology, marketing, or other real estate issues? Ask Texas REALTOR® by sending e-mail to texasrealtor@texasrealtors.com or fax to 512/370-2390. Not all questions can be answered.

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