Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Tax, SDIRAs & Cost Segregation
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated about 5 years ago on . Most recent reply

User Stats

173
Posts
86
Votes
Patrick J.
  • Rental Property Investor
  • Tucson, AZ
86
Votes |
173
Posts

Can I rent to my own business to avoid SE Tax?

Patrick J.
  • Rental Property Investor
  • Tucson, AZ
Posted

I am going to rent a private office and my plan is to make an LLC that collects rent from my personal business.

By doing this, my business income gets shifted into rental income thus avoiding a lot of the 15.3% Self Employment tax. This seems a lot simpler than going the S-Corp route although I could make an S-Corp + pay rent to myself saving me even more taxes.

From what I read online, it seems legal. The beauty of this is that my income would not affect lending guidelines for mortgages since it just gets shifted into rental income.

Any thoughts?

Loading replies...