Yes, it does. And while some things, like depreciation, are definite advantages
in the tax code that make investing real estate more profitable, if you ever sell the property you have to pay taxes on all the money you deducted for depreciation while renting it.
Many investors “get around” this temporarily by doing a 1031 exchange into a more expensive property but the depreciation eventually gets paid back, one way or the other, when that property is sold.