All Forum Posts by: John Duston

Hi Robert,

The real issue is the intent that it was heald for investment.

Was the intent to give your father a place to stay or to speculate on capital gains?

How have you been treating the expenses for this property on your taxes?

Have you been listing the interest as investment interest, under home mortgage, Sch. E?

@Tim Coulter

Hi Tim,

I am a tax accountant up in Santa Barbara and have worked with real estate agents in the past. I've got a free lawyers in Los Angeles and Santa Barbara who can advise on legal protection as well.

I can handle your wife's business with best practices as I have a broader experience in a variety of business that I don't specialize in.

May know someone more local if I check my contacts.

 I know a few do.

@Jerry Schumacher

I know a good one in Santa Barbara who does tons of work with real estate

If you're purchasing new units then they'd be depreciated though this this is not some kind of cure all.

Where is the concern that taxes will suck up all your earnings? Have you gone over a tax projection with an accountant? 

I work with lots of people for single family rentals. It's pretty rare that I get a return from someone who did it right on their own.

A good person to work with should be able to understand what your goals are, your situation, and make an action plan from that.

Yes, you need a CPA. 

Most of the time I recommend getting the business going then setting up an entity but Fl is a lower cost state to have one. LLCs can elect to be taxed as an S corp so that's a tax issue that can be pushed off and switched as needed. I'd also recommend finding an attorney. 

Great way to put it.

The practitioner is the main contact person and should be able to handle most work and know when to delegate to other professionals.  

The issue is when people run into "unknown unknowns" or they don't know that they don't know  and don't bring in a specialist. 

Always hurts to hear about so many accountants not doing the best they can is so widespread and I certainly see some real bad returns from clients who switched form another accountant.

 I'll send you a DM to set up a call.