what is listed property

Listed property is tax property that can be used for both business and personal purposes, so the IRS applies special substantiation and depreciation rules to it. Common examples include passenger cars, certain other transportation property, and equipment used for entertainment or recording, such as cameras and video gear.

Quick Scoop

Listed property matters because personal use can limit deductions. If business use is more than 50%, the property may qualify for more favorable tax treatment, but you must keep adequate records to prove the business use.

Common examples

• Passenger automobiles, especially those weighing 6,000 pounds or less.

• Other transportation property that is easy to use personally, such as motorcycles, pickup trucks, and SUVs.

• Entertainment and recording equipment, including photographic, phonographic, communication, and video equipment.

Why the rules exist

The listed property rules were created to prevent taxpayers from claiming business deductions for items that are really used mainly for personal purposes. That is why the IRS requires stronger recordkeeping for this category.

Simple example

If you buy a car and use it 70% for business and 30% for personal errands, it may be treated as listed property and you may deduct business-related costs only to the extent allowed under the rules, with records to back up the usage.

One important note

“Listed property” is a tax term, not a real-estate term. It is different from “listed building” or “listed property” in the housing sense.

TL;DR: listed property means personal/business-use assets that need extra IRS recordkeeping and have special depreciation limits, especially vehicles and certain equipment.