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Updated over 4 years ago, 08/20/2020
Best tax strategy for writing off expenses
Hi all, I'm a new investor looking to buy my first multifamily deal with a partner. We have an offer in on a triplex and will be using a VA Loan to purchase the property. The property needs to be rehabbed and I have the capital to do so. However, we are trying to figure out the best tax strategy to write off expenses for the rehab. We have thought about forming an LLC but are in California so it's pretty expensive. Would something like filing a Schedule E come tax time work or should we form the LLC to write off the expenses? Or am I missing something altogether? Any info is appreciated, thanks!