I understand that passive losses cannot reduce your taxable income and must be rolled over to be subtracted from future passive income, UNLESS you meet the special allowance that says you may deduct up to $25k in passive losses from taxable income if your modified AGI is less than $100k that year.

I’m only running the business part time (15 to 20 hrs a week) and it’s already bringing in about 3k a month profit (with everything subtracted from revenue besides taxes). 

Subtract all debt. ( IRS debt, mortgage debt, student loans)  If the amount left over is ten million then you would have a net worth of ten million. 

JADU are value subtract as they typically reduce the value of the RE and often best option at selling is to remove the JADU. 11) if the ADU is being added to a SFH, the ADU can make the house rent controlled (if it is over 15 years old).

@Andy Young Gain or loss is calculated by subtracting the cost basis from the net sales proceeds.

Subtract 3 and 4 years to build something and you get 2020-2021.

I will definitely check with a CPA. quick question regarding the summary number three:The $12,000 in negative cash flow (Total expenses less rent received ) would be subtracted from the depreciation and loan interest?

Now, subtract all that from what you're bringing in.

Then we can subtract out the other stuff. 

Dive in to your actual comparable properties, add revenue to yours for features you have that comps don't, subtract for features the comps have that yours doesn't.