First time LP in syndication for accelerated depreciation

[Amanda Swetman]

My husband and I are looking into becoming an LP in a multi family deal in Austin as a way to use accelerated depreciation to help out on our taxes. My husband is a 1099 and I am a W2. This will be our first year with both of us having a significant income jump. Even though I am 100% commission, I am unfortunately still a W2 and cannot write off anything..

Our current goal with the knowledge we have would be to invest in a syndication every year to use accelerate depreciation or lower our taxable income each year. Im having a hard time finding actual case studies with logistics of the actual process you have to go through with accelerated depreciation so I can do my due diligence on this deal. Every website just says “depreciation will help on your taxes” Looking for any insight you all might have. And yes I know most of you are not tax professionals.

[Taylor L.]

You should research cost segregation. @Yonah Weiss puts out the most helpful content on cost segregation. Cost seg is the mechanism by which we can produce greater depreciation in early years.

You as a passive investor don't need to do anything to accelerate depreciation once you're in a deal. Your work is all on the front end, screening sponsors and deals. Then once you're in a deal you'll just receive a K-1 each year reflecting depreciation allocated to you. Then you and your CPA prep your taxes.