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Updated over 4 years ago on . Most recent reply

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552
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Susan O.
  • Fresno, CA
181
Votes |
552
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LLC names For showing that you are a "Rental Owner" not "Trader"

Susan O.
  • Fresno, CA
Posted

I was wondering because of the "trader status" if you sell too much real estate if it's better to put the word Apartments or Rentals in the name instead of a generic name

Like Outback Apartments LLC instead of Just Outback LLC so it shows that your 'intent was to hold it long term'. Shows more proof?

This is because I hear if you buy and sell properties often in one LLC you can be hit with IRS 'trader status' making it so you get taxed on short term capital gains ordinary income VS long term capital gains. When you sell even a rental.

Most Popular Reply

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758
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Syed H.
  • Developer
  • NY/NJ/PA
934
Votes |
758
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Syed H.
  • Developer
  • NY/NJ/PA
Replied

Lol the name does not matter 

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