Accounting & tax
Chart of accounts
The organized list of account codes and names used to classify a property business’s assets, liabilities, equity, income, and expenses.
Glossary
Accounting & tax
Primary references on this page:
A chart of accounts is the classification map behind a general ledger. It determines where rent, deposits, bank balances, payables, owner contributions, repairs, utilities, and other activity are recorded and how reports group them.
A useful rental chart stays detailed enough for decisions and tax preparation without creating a new account for every vendor or receipt. Properties, units, owners, jobs, and vendors usually belong in dimensions or subledgers rather than duplicated account structures.
Example: “plumbing repairs” and “roof replacement” may both involve a contractor, but they can require different operating, capital, and tax review. The transaction memo and supporting invoice should survive even when the chart uses a broader account.
Design rules
Use stable codes, document each account’s purpose, separate trust or deposit liabilities from operating income, control who may add accounts, and map changes before importing history. A renaming should not silently change prior reporting meaning.
Reconciliation is the quality check
A clean chart does not prove clean books. Reconcile bank and provider balances, inspect uncategorized and suspense activity, and review balance-sheet accounts before relying on an income statement.
This is general educational information, not legal or tax advice. Rules vary by state and locality and change over time — check your local law and confirm specifics with a qualified professional.