Let us connect, I have something for you part-time.

Hi, I’m planning to visit auction next week first time.

Hopefully someone with tax accounting knowledge can jump in here with more detailed analysis, but I looked at this a bit several years ago...1) You still have to pay the depreciation recapture on the sale decreasing the net benefit of this approach due to the large tax payment in the 'sale' year2) The LLC would need to not be a passthrough entity so that it can be taxed separately from you, so you have to add another tax return cost for the years going ahead3) Taxing it separately from you likely means corporate status and corp. taxation rates which are higher than yours and I've heard many times over the years to avoid titling real property as a corp...Overall from what I've seen this only makes sense in a select few scenarios, which for most people aren't in play. 

Those should not need attention (in a perfect world) for some time. 

When you do a little extra work ahead of time, the process goes so much more smoothly.

Steve,Welcome to the BP forum and great time to get back into the REI world.

If the company would not write this policy this way, you may have an issue at claim time. 

Quote from @Nate McCarthy: Quote from @Tim Delaney: You have a lot going on there and I’m not sure I fully understood your thought process.

Everyone’s journey is different, so be sure to take your time and don’t hesitate to ask for advice!

Curious why any tax pro would argue with that.If filing state tax returns did not take any time or money, then there is no harm in filing them.