In addition to accumulating deferred capital expenditures you also have the issue of depreciation recapture so that you could end up with a taxable gain on sale of a thoroughly deteriorated property. 

But that usually gets into a back and forth as to whether that credit is still taxable.

If you have a loss, it might be limited based on your income level.When you sell it, the half of the gain not taxable under section 121.

“The Tax Code isn't out to get you—it actually presents opportunities to reduce our taxable income.” - Steven LibmanThe Tax Benefits You Need to Know AboutJordan has been a tax partner at a CPA firm that’s been around for 25 years.

If the full distribution amount is recontributed to the IRA before your 2020 tax return deadline (including timely filed extension) then not taxes will be owed (although you will still need to work with your tax advisor to report the distribution on your 1040 but you will report the taxable amount as zero - similar to reporting an indirect 60-day rollover).2) Keep in mind that in order to take a distribution under the CARES Act you must have been impacted by the virus in one of the enumerated ways & your current account provider must allow you to take a CARES Act distribution.

If the full distribution amount is recontributed to the IRA before your 2020 tax return deadline (including timely filed extension) then not taxes will be owed (although you will still need to work with your tax advisor to report the distribution on your 1040 but you will report the taxable amount as zero - similar to reporting an indirect 60-day rollover).2) Keep in mind that in order to take a distribution under the CARES Act you must have been impacted by the virus in one of the enumerated ways & your current account provider must allow you to take a CARES Act distribution.

If you are eligible to set up a Self-directed Solo 401k (i.e. self-employed with no full-time w2 employees) and you are eligible to withdraw funds from your current employer plan, it would be easier (as well as avoid mandatory 20% withholding for taxable distribution from your current employer 401k) to simply process a direct rollover/trustee-to-trustee transfer from your existing 401k plan to your solo 401k. 

I can give up my half of the ownership, but seems like this is considered as gifting, which is taxable. 

Trust with rights of survivorship.Makes death a little better by not making it a taxable event.

@Ashish Acharya when you talk about 'piling' capital gains 'on top of' our other income, does it work like this;I make 35,000K W-2 or K-1 taxable income, so right near the top of 12% bracket (single).