Schedule E: Supplemental Income

Many of your clients will have supplemental income from sources like rental real estate, partnerships, trusts, estates, and royalties. How do you report that income? This course will give you a better understanding of Schedule E, as well as rental and other income sources, which income must be reported, and which losses and deductions are allowed.

Last Revision: April 2024



Prerequisites are not necessary to participate in this course and no advance preparation is needed.

Course Description

Schedule E is used for reporting supplementary income, meaning it is not actively earned but it is not investment income. Supplementary income can come from several different sources, the most common sources being income from rental real estate, royalty income, and income from trusts, estates, partnerships, and S corporations. This course will focus primarily on income from rental real estate.

Rental real estate can be a significant source of income and deductions for many taxpayers. However, rental real estate requires careful planning to avoid several pitfalls. Tax practitioners should also be aware that the internet is rife with incorrect and outdated information and taxpayers can sometimes have unrealistic expectations about what they can deduct or what income they do or do not need to report.

After completing this course, you will be able to:

  • State the purpose and elements of Schedule E
  • Identify the types rental income and the related deductions
  • Explain which income must be reported, and
  • Know how to report the losses and deductions that are allowed for different types of income.

CPE Facts

Affiliation* CPE Awarded Delivery Method Field of Study Course ID Sponsor ID
NASBA 2 Self-Study Taxes N/A 103137
CTEC 2/0 Self-Study Federal Tax Law 3038-CE-0366 3038
IRS 2 Self-Study Federal Tax Law FQTGU-T-00669-24-S FQTGU
Texas State Board of Accountancy 2 Self-Study Taxes 100426 002921
Pennsylvania State Board of Public Accountancy 1 Self-Study Taxes N/A

* Individuals with other professional credentials should check with their state licensing board or accrediting organization to determine if this program meets their continuing education requirements.

Other Details
Last Revision April 2024
Course Expiration The CPE portion of this course expires one year from date of purchase
DrakeCPE Course Policies and CPE Affiliations