Legally Firing the IRS with IRA Investing

We recently held a training event of case studies in IRA investing. Here is how one of our clients was able to fire the IRS legally.

Our client, Mr. Washington, a 60 year old active investor in single family homes has a ROTH IRA with Equity Trust. He recently bought an income producing property from us for $20,000 with a performing tenant in it. The net income after monthly operating expenses for taxes, insurance and management is $500 a month. Mr. Washington because he bought the property in his IRA, and because he is beyond the 59 1/2 age requirement now has a neat tax free investment for as long as he would like it. After all, he can collect each of the monthly payments tax free. He just has to make sure the rent checks are titled to his IRA and he draws the monthly funds from his Equity Trust account, and not directly to himself.