All Forum Posts by: Pierce Lovesee

Hi All,

I'm needing recommendations for good Tax Attorneys that have a specialty in Retirement Accounts. I made a mistake with Vanguard while rolling over a 401(k) and it ended up on a Roth Account. I'm trying to get it corrected to where the conversion doesn't occur, but Vanguard is being very unhelpful. If you know anyone that has worked with this before, either clients or attorneys, I would really appreciate you passing this post along to them. Any advice is greatly appreciated, and I'm really looking to get an attorney on board. Since this is primarily a Federal tax issue, I'm open to working with anyone around the country with the needed experience and knowledge.

Sincerely,

Pierce

@Michael Plaks & @Eamonn McElroy

Hi Michael and Eamonn, thanks again for the clarification on this question. I appreciate the help!

I'm looking for suggestions on the best CPA to get established with. I'm looking for an experienced CPA, preferably familiar with both Real Estate tax and taxes associated with Oil Field consultants but the main thing is a solid understanding of real estate tax. My taxes for 2019 ended up a bit more complicated than previous years (bought and sold property, traveled a lot for work, had several income sources that were out of the ordinary). I'm at a point now where I think it's going to be beneficial to have a CPA on my side since I'm not just filing for the standard deduction.

I know it's a bit late in the year to be looking for help on 2019 taxes but, with the extension out until July, I'm hoping there are some good CPA's looking for clients. I appreciate the help!

@Michael Plaks

@Eamonn McElroy

Thanks for the clarification, guys. The perspective I was coming from was this:

Say the member invests $10,000 of personal capital into the business (Equity) to get things going.  Then assume that equity balance stays the same through out operating the business, i.e. no distributions were taken by the member.

Then the assets of the LLC are liquidated, and the only cash available to be returned to the owner is $7,000.

I was thinking that remaining $3,000 of equity the member has in the LLC would be treated as 'stock' in the company that had no likelihood of being able to be liquidated. Then similar to stock in a corporation could be taken as a loss against income for tax purposes.

But that's not the case with LLC's? That money invested into the LLC is lost with no available tax implications?

Hello,

We sold some properties in Oklahoma in 2019 at a loss. The properties were held under a single member LLC. After the transactions were complete, since the properties were sold at a loss and a positive net operating income was not realized in any year the properties were owned, the Opening Balance Equity still had a positive balance on the Balance Sheet, and there is still a positive Total Equity. Since this is the money invested into the company by the member of the single member LLC, and the loss is now realized since the company assets have been sold, is this loss a tax deduction? If so, what tax form should this loss be accounted for on? I appreciate the help!
 

@Linda Weygant and @James Masotti I appreciate the feedback.  Totally clarified, vacancy expense is for analysis only, not for reducing taxable income.  Kind of a newby question, but I really appreciate the help.  Happy Halloween! 

@Linda Weygant, I realize this is an older post, but the way you talk about vacancy makes it sound like a business expense.  Can vacancy be treated as any other expense to reduce your actual income (i.e. Actual Income - Vacancy = ~Taxable Income).  Or is the way you're talking about vacancy intended to illustrate it more as Proforma/Expected Income - Vacancy = Actual Income?

Hopefully that makes sense.  I appreciate the help.

@Tom Gimer that makes perfect sense.  Thanks for the advice!

I found some documents online for assigning landlord interest in a lease that I think will work.

Really appreciate the help!

Quick questions. I have several different properties that I just deeded to new LLCs. The existing tenants all have leases with me as landlord and owner of the property (Pierce Lovesee, a single person). Now that the property is owned by the LLC, do I need to bug/confuse the tenants with having them sign a new lease with the LLCs? Would an addendum to the lease suffice? Or is it not necessary at all and I can just up date the leases with the LLC information at the time of renewal? I appreciate the help!

@Ryan Jones I really appreciate your feedback. Adding in the letter of the law was super useful for me and I’m sure it’s useful for others as well.  It’s good to know that’s spelled out. I guess if I want to fully proceed I’d need to either get my existing tenants written authorization to keep electronic copies of the lease as original or just wait until they move out/resign. Really appreciate the information. 

@Deborah Burian that’s an excellent point with the adverse weather in OK!  I could definitely see some stressful situations coming up if power is out and I need to clarify a point of the lease. Definitely something to consider.