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ProofHours. The Hours Log That Survives an Audit.

The biggest deductions in real estate are won with a calendar, not a promise. ProofHours builds the contemporaneous record examiners respect, as the work happens, property by property.

125+ IRS Audits Defended
$0 Ever Returned to the IRS
24+ Years. One Standard.
100% U.S.-Based Team
IRS Approaches 1 and 2

In one sentence: the biggest real estate tax breaks are won or lost on whether you can prove how many hours you worked, and ProofHours is the app that keeps that proof for you.

Meet Marisol. She owns two short-term rentals and does the work herself: bookings, turnovers, the broken ice maker at 10 p.m. Her CPA told her the losses could offset her salary if she could prove more than 100 hours and more than anyone else. She said sure. Then March came and she tried to rebuild a year of hours from text messages and a calendar full of dentist appointments. The log was a guess, and a guess does not survive an examiner. Now she opens ProofHours after each task: thirty seconds, which property, what she did, how long. The app shows her live where she stands against each test, and at year end it prints a dated report her CPA can hand across a desk.

The catch: the app organizes real hours. It cannot invent them, and it will not. That is the point.

Reviewed by the Cost Seg America team. Last reviewed September 2026. Educational content, not tax advice. Your CPA determines whether you meet the tests.

The Answer, First

Real Estate Professional Status and the short-term rental loophole are proven in hours, and the IRS asks to see the log. ProofHours is tracking software built for exactly that log: recorded as the work happens, organized by the categories the tests count, and exported in a format an examiner can read. The deduction comes from the study. The right to use it comes from the record.

The Problem It Solves

Talk to anyone who has been through an examination on REPS or material participation and they will tell you the same thing: the argument was never about the tax law. It was about the record. The tests are counted in hours. Hours are proven with documentation. And documentation built after the fact, from memory, from old texts, from a calendar that mostly shows dentist appointments, is where these claims go to die. The owners who keep their deductions are the ones who logged the work while it was happening. That habit is the entire game, and almost nobody has a system for it.

What ProofHours Does

ProofHours makes the log a thirty-second habit instead of a March archaeology project. You record the work as you do it: what you did, which property, how long, and who did it (you, your spouse, or someone else). Every entry is timestamped, so the record is contemporaneous. Then the software shows you, live, where you stand against the tests that decide the deduction: the 750-hour rule and the 50% test for Real Estate Professional Status, tracked for one spouse alone the way the law requires; the three most common material participation tests for each property (more than 500 hours; more than 100 hours and more than anyone else; substantially all the participation); and the average guest stay per property, so a short-term rental owner can see whether the 7-day rule is met. When you need it, ProofHours produces a dated, examiner-ready report with every test's result and an hours table for each property. No spreadsheets. No shoebox. No reconstruction.

Who It Is For

Short-term rental owners using the 7-day rule, where material participation decides whether losses offset W-2 income. Investors pursuing Real Estate Professional Status, where the hour thresholds are high and the scrutiny is higher. And anyone whose CPA has ever said the words "keep a log" on the way out the door. If your deductions depend on proving your time, this is the proof.

The Catch

Software organizes proof. It cannot manufacture it. ProofHours will make your real hours unshakeable, and it will do nothing for hours that did not happen. That is not a limitation. That is the point. Honest records are the only kind that survive, and the only kind we would ever help you build.

Questions Owners Ask

Does ProofHours guarantee my REPS status or STR losses?
No. No software can. ProofHours documents the hours you actually worked, in the categories the tests actually count, in a format an examiner can actually read. The hours themselves have to be real and have to be yours. Whether you meet the tests is a determination for you and your CPA.
Why do hours logs matter so much?
Because the biggest deductions in real estate are granted or denied on tests counted in hours, and when those claims are examined, the record is what gets read. A log kept in real time carries far more weight than one rebuilt later.
When should I start logging?
Today. Records kept as the work happens are the standard examiners respect. A log rebuilt from memory in March defends nothing.
The Bigger Play

The study creates the deduction. The log defends your right to use it. Run them together: an engineered cost segregation study to build the write-off, and ProofHours to prove the status that unlocks it against your other income. That is the whole strategy, documented end to end.

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The Cost Seg America Team
Cost Seg America · Engineered, Not Estimated · 1-888-365-5023 · info@costsegamerica.com
The Investor's Tax Playbook is educational. It is not tax, legal, or accounting advice, and reading it does not create a client relationship. Dollar thresholds and rates adjust annually. Execute every strategy with your CPA or qualified tax professional.