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Updated over 1 year ago on . Most recent reply presented by

User Stats

6
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3
Votes
Pichael Miper Holmes
  • New to Real Estate
  • Aurora, CO
3
Votes |
6
Posts

Recouping Startup Cost on W2

Pichael Miper Holmes
  • New to Real Estate
  • Aurora, CO
Posted
From all that I have read, and using that to base our organizational structure from the very start, I would love to know the possibilities of recouping the start up costs from setting up what my wife and I hope to grow into a large portfolio.
We started with a WY Holding LLC (as recommended by many) into which we put ownership of the state-specific LLC where our rental property is.  We plan to move the rental property into that state-specific LLC as soon as feasible with the lender's blessing, and have already set up a business bank account using the state-specific LLC's EIN.  All future transactions will be thru the business bank account, but some of the start up costs were on a personal credit card.
We did need to qualify for the loan as individuals, and paid the down payment and closing costs out of our personal money.  This also included things like appraisals and inspections prior to close.
Is there anything I can do to make my CPA's job easier for next year other than having the specific charges highlighted on the personal credit card statement?
Thanks BP Family!
Michael and Piper Holmes
  • Pichael Miper Holmes
  • Most Popular Reply

    User Stats

    8,153
    Posts
    3,695
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    Basit Siddiqi
    • Accountant
    • New York, NY
    3,695
    Votes |
    8,153
    Posts
    Basit Siddiqi
    • Accountant
    • New York, NY
    Replied

    If you want to make your CPA's life easier, have a call with him and ask him the format that he would prefer.

    I think if you can properly determine what the income and expenses are and be detailed with your categories, that would be perfect.

    I would use excel or some sort of accounting software(if you are comfortable) to properly categorize all your income / expenses.

    business profile image
    Basit Siddiqi CPA
    4.9 stars
    78 Reviews

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