UBTI on SDIRA

[Dawn Hall]

I opened an SDIRA last November and bought a foreclosure property in December. I had a few minor repairs made ~$1000. We put it for sale or rent on Craigslist and actually sold it for a $14k profit. It took us until October to find another property. Same situation. Bought low. Put in about $1500 in repairs. Put it for lease or sale on Craiglist and sold it this week for $13.5 k profit.

Am I flipping? Is this subject to UBiT? My accountant is not versed in the SD IRA and Inhave seen some opinions that vary...one says you need to flip 5 properties, another says you have to hold for a year.

Opinions?