How do you file Taxes as a wholesaler?

[Matthew J. T.]

Do you just print copies of the checks you made and keep them as your stubs, and save them come tax time and take them to H&R block, or how exactly do you do it?

[Will Barnard]

I concur with Tom. I live and work in CA and have wholesaled more than 8 times and I have no RE sales license, nor do I need one. What I do have are entities and trusts which I funnel deals through and I pay my taxes according to the net profits for each entity. For my S Corp, I receive a salary plus I get dividends which are taxed at only 15% as opposed to the marginal tax rate.

Check with your own CPA, however, good record keeping is essential in any business, particularly RE. I strongly recommend you use an entity (speak to your tax attorney or professional advisor experienced on this subject) and not flip RE in your personal name. As such, having a good accountant is just one of many team members you should be using, H&R block is for W-2 employees with basic returns!