Unlike passive rental income, the income from an active trade or business is subject to self employment tax (a nasty 15% tax commonly referred to a "social security and medicare" by working folks).

In North Conway and Bartlett you have to pay 9% state meals tax as well. 

Otherwise it WILL be subject to tax as capital gain.

Unlike passive rental income, the income from an active trade or business is subject to self employment tax (a nasty 15% tax commonly referred to a "social security and medicare" by working folks).

The idea is that the end user pays the sales tax. As

The tax advantage of renting a property is that by default you end up holding it for more than a year, and thus you pay long term capital gains tax. As

Does they pay the same Tax as locals, and what kind of Taxes you have to pay in the US for properties?

I also don’t feel we would be properly leveraging our money when I can take the equity out, buy a property, avoid the tax as it isn’t income, and have someone else paying the mortgage down while I build my portfolio.  

My problem is not so much with the high property tax, as you can still make money if you buy the house right and the rent is high enough (and that is the case in many houses.)

Unlike passive rental income, the income from an active trade or business is subject to self employment tax (a nasty 15% tax commonly referred to a "social security and medicare" by working folks).