Each time you consult a lawyer, you receive a different answer, and the subsequent lawyer may provide a completely different solution or, even worse, refute what the previous lawyers have said.One of the primary issues is their inherent biases.

Look at your previous years tax return, then go to your taxable income line. 

Yes, in many jurisdictions, the previous owner will have certain rights that might allow them to "redeem" or at least "challenge" that auction. 

What documents do they require, what credit scores do they allow, how do they verify previous rental history, etc.?

I recently went into a 50/50 LLC with a college friend to buy our first property in the college town we attended.

We are also scared to evict the tenant because of our dad’s $10,000 eviction history with previous “Tenant A”. 

Hi Nathaniel - You have got the calculation in the previous post.

Assembly Bill 1771, also known as the California Housing Speculation Act, aims to change real estate tax policy to discourage investors from quickly reselling properties like single-family homes.Under the proposed bill, an additional 25% tax would be imposed on the gain from the sale of a qualified asset (including homes) within three years of the previous sale.The tax reduction is dependent on the number of years passed since the initial purchase of the qualified asset, ranging from a 20% reduction for sales occurring between 3.01 to 4 years to a 100% reduction for sales occurring more than seven years after the initial purchase.The revenues generated by this tax increase would be deposited into the Speculation Recapture Community Reinvestment Fund, which aims to support affordable housing, local governments, schools, and infrastructure projects.The bill is introduced by Assembly Member Ward, and the proposed tax changes would take effect from January 1, 2023.Assembly Member Ward argues that short-term investors in the market, including fix and flip investors, contribute to rising housing prices, limiting opportunities for Californians to purchase homes.While the bill may discourage short-term speculative transactions, it is worth noting that California's tax laws still provide certain advantages for investors, including unlimited tax write-offs and depreciation benefits.The bill is subject to legislative approval, and Assembly Member Ward will speak publicly about the bill at the San Diego County Administration Center on a specified date.Please note that this is a simplified summary of the bill and its potential impact on fix and flip investors.

They learned their lesson and just use the property for their personal storage.

Also, if your multi-member LLC filed as a partnership in previous years, you may need to file a final partnership return.It’s always a good idea to consult a tax professional or attorney to make sure you're following the correct steps for both federal and state requirements.