Short answer
Rental income records should reconcile to payments and bank deposits. Security deposits and advance rent need different treatment depending on facts.
What to do next
Keep the lease, ledger and deposit record together and check IRS Publication 527 for current treatment.
Save the current lease, dated messages, receipts and any property-specific evidence together. A useful record shows what happened, when it happened and which document or rule you relied on.
Check the source
Rules may change and the right answer can depend on the home, city, lease and timing. Review the current official material before signing, charging a fee, sending a notice or making a legal decision.
IRS Publication 527 — Residential Rental Property ↗
Put it into your workflow
A repeatable process turns a one-time answer into a reliable rental record. Capture the action in your property file, assign a follow-up date if needed and make sure any tenant communication matches the signed agreement.
Keep the lease, ledger and deposit record together and check IRS Publication 527 for current treatment.
General information for U.S. landlords, with a Texas focus. This guide is not legal, tax or accounting advice. Consult a qualified professional for your situation.