Cross Year Taxation For A Flip?

[Ken Quella]

Hello Everyone,

Having trouble locating some answers on this. Answers on google seem to be a bit spotty. My business partner and myself purchased a property in 2015 and its going to market in a few weeks. We have set up an LLC for our flipping ventures. I just want to make sure all of what im researching is correct (yes I will still be sitting down with a CPA anyway). All our write-offs (HML interest, prop tax, utilities, materials, labor and ect) will carry forward to the year the property actually closes? So we will basically do our taxes this year like any other year as this is our first flip? Then next year 2017 we will report the house sold in 2016 and start the fun task of adding another income stream to our tax reporting?

Thanks

Ken