Schedule C sounds like a dream

[Nicholas Schwab]

I haven't seen anybody write specifically about this before. After looking at hundreds of thousands of dollars in suspended passive losses, I'm planning to provide substantial services on my next house hack. This sounds like it would allow me to file an LLC, report on Schedule C, and then have my inevitable losses start to offset my W-2 income. No REP or STR needed. Self-employment tax will be required on the net gain, which will of course be 0 after property expenses and depreciation. Long-term rental with substantial services provided. I think my other rentals will still be considered passive. I know sometimes they get characterized and grouped together, but this would be very different with the schedule C and active nature of what I'm planning to do. Letting the tax tail wag the strategy? Yup. Any drawbacks? Anyone ever heard of someone doing this? I've been deep-diving this thought process for days haha