All Forum Posts by: Steve Seerey

Natalie Kolodij

Accountant from Everett, WA

 Thank you very much for this information! very helpful!

Hi All.

We have decided to explore an LLC for liability reasons for some house flipping. We are trying to see if there are tax benefits and liability benefits to an LLC vs. and S Corp. We have steady income (W2), this is a side hobby. Lamens terms would be great :)

Help...About to buy a flip with a friend 50/50 split of profit. He is going to buy it as his personal property with the intent of selling it 6 months after purchasing. If he sells it in his name ( pays short term capital gains or applies for the 2/5 year exclusion), is there a way to lower the taxes on our profit? Can we claim we made a "salary", but isn't that the same tax rate we already pay? How do we lower the tax rate on our profit he cuts us?