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Updated about 1 year ago,

User Stats

37
Posts
7
Votes
Jesse Fernandez
  • West Hempstead, NY
7
Votes |
37
Posts

Leveraging the short term tax loophole for cost segregation qualification

Jesse Fernandez
  • West Hempstead, NY
Posted

I am looking to take advantage of cost seg for a  2 unit MF property - which has tenants for long term rental  (let's call this property A)


I know that in order to take advantage of cost segregation, there are no specific "status qualifications" per se, but certain conditions and considerations should be met such as 1) having a real estate prof status (i.e., spending more than 50% of working time & 750hrs pr yr in RE business) or 2) short-term rental status, rentals with a duration of less than 30 dys)


I do not qualify with a RE prof status, but I will be acquiring another property with the purpose of having it for short term rentals (property B), please note that this property is outside of the U.S., so my question is: 


I don't qualify as a RE professional status, but can I use the acquisition of the short term/property B as my "short term rental tax loophole" for the purpose of the cost seg on property A? Or does it only apply to the short term rental property only? 

Thank!

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