Repairs made while the property is your primary residence are not deductible, but improvements can increase your cost basis, reducing future capital gains tax when you sell.

@Andrew Slezak Opportunity Zone (OZ) investing allows you to defer capital gains taxes (e.g., from crypto) by reinvesting the gains into a Qualified Opportunity Fund (QOF) within 180 days.

And must be pretty significant unreported income if it would have caused $45k in state tax liability.You advised your client to wait past the expiration of state statute.

How is it a tax strategy though?

STR seems to have better tax benefits (in the right market) but is it worth it at a distance ???

However, there is no specific holding period contained in the tax code or regulations and there is no "safe harbor." 

This has driven up the property taxes there. 

Assuming you sold the home at the end of 5 yearsYour NET ROI would be:0% appreciation: 10.93%1% appreciation: 12.13%2% appreciation: 13.33%3% appreciation: 14.53%This ROI calculation takes into account taxes, insurance, selling costs, repairs (calculated at $3500) through out the lease.

Tampa can work, but yes, taxes and insurance are higher and might keep cash flow tight.

No personal income or tax returns are required.