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Updated over 6 years ago on . Most recent reply
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My CPA is very vague.. is this normal???
Hello I am a young entrepreneur.
This year I have done pretty well and am blessed and burdened to have quite a tax bill coming in April of 18 looking to be around 40k
When asking my CPA what I can do with the money to lessen my tax burden he is very vague and unhelpful. Now i am new to having a CPA so maybe that is not his job.
My first thought was to get into real estate however, from what i understand most expenses with real estate have to be depreciated over time. So therefore maybe i shouldn't be looking at real estate as an investment to help with taxes for this year. Is this true or is there another way? Thank you guys.
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If you have income it is difficult to avoid paying some taxes, and tax evasion can get you in big trouble. Taxes are a difficult issue and are hard to avoid from the back end. Prior planning can help some.
Also expenses are not depreciated over time. The cost of a rental is depreciated over time. That depreciation is a non-cash expense that does save on taxes.
Your CPA should walk you through this.