"The IRS discussed the issue in PLR 9840026 (some citations omitted): The rental of even a single property may constitute a trade or business under various provisions of the Code.

Don't forget to consider things like HOA fees, state income taxes, child support, Medicaid, code violation citations, municipal liens ...

Third, I would let the guy know that stealing utilities is a crime (everywhere I know of in the US) and any further attempt at doing so you will simply contact the utility company, who can get a citation or arrest issued to the guy. 

The cities can issue all the citations they would like but they have little real power to force compliance.

So, in Phila, when the property taxes go unpaid there is a high likelihood of other liens, particularly for water/sewer and natural gas; since it's a board up, they might have code citations, and they might not have a vacant property license as required by Phila!  

I am generally a big advocate of "driving for dollars"  - for those who don't know - it simply mean driving around looking for distressed houses that owners may be willing to sell - typical giveaways are boarded up houses, unkempt yards, citation notices on doors and the like.  

I get that you are busy but if you are going to cite references, they should be accurate citations, IMHO.

And even if you find a good one on the MLS thats an REO at a killer deal....Guess what...They more than likely asking you to pay all the citations or HOA fees that are due on it lol.

Fortunately the citations are just due to not having permits for work...so I should just be able to file for permits for the work, even though its technically already been started, it would at least open the inspection periods back up for me to either remove the problem or just have them properly certified. 

I don't believe they tried to serve me because they neither requested nor paid for citation.