All Forum Posts by: Roman McIntosh

The house next door to mine is currently rented to my sister in-law. The owner informed her of intend to put the house on the market at the end of her lease in 3 months. We intended to buy the house using a self-directed IRA but it my understanding my wife and I cannot combine our self directed IRA monies in the same deal and cannot rent to the sister in-law because she is related. That realization hasn't left us much time to get a down payment that would high enough to cover the rent we can charge the sister in-law. If it all possible I would like to buy this house but don't have enough for a down payment. I do own a rent house free and clear the we collect $900 a month on that is worth about $75k.

I think I would rather be taxed as disregarded entity because that seems the simplest and I do leave in a community property state. I think that would allow us to pay what ever taxes are owed on our jointly filed personal tax return. Like everyone my goal is to pay the least amount in taxes.

When I apply for an EIN for my mulit-member LLC the IRS classifies it as a partnership by default. It says their are addition forms you can fill out if you don't want it to be classified that way. My wife and I are the only members of the LLC. How should we proceed? I am a little nervous about filing anything incorrectly to the IRS.

Thanks