When calculating deprecation on my property and taking in the cost basis, I understand you need to subtract the costs of the land from the property itself.

After all depreciation and operating expenses are subtracted from my SD-IRAs share of the profits, will the tax liability be paid from the SD-IRA or my own pocket? 

Is 75% of rental income subtracted from the PITI payment, or is it added onto my monthly income?

So in your case it would be 131+31-$17K ish (depreciation = $145K.This adjusted cost basis is subtracted from your net sale ($275K minus closing costs so maybe $260K ish) = a gain of $115K which consists of a capital gain of $98K (taxed at 15% federal probably) and $17K of depreciation recap at 25%.Total tax - roughly $20K ish. 

.," do you mean estimating them as a % of rent or just merely not including them in the analysis and eat-up the cost, ultimately subtracting them from your net income?  

Since land doesn't depreciate and since you're probably not done any improvements on it that starting basis would be subtracted from the net sales price to your neighbor and that is your gain. 

Here’s my embarrassing attempt at doing the calculations:- horrible condition, so $40K in repairs- I want 30% equity position for safety cushion, so subtract $68K from $227K- Realtor 6%, Title fee 1%, Buyers closing cost 3%.  

Subtract expected closing costs from the expected sales price.Step 3.

Again, since the math checks out, so far so good.6) Remember that 16,475.59 interest that would have been paid over the full 312 month term in (3), by subtracting out the 1936.46 31 month pay off interest, there is a 14,539.13 interest savings from the forced 'over-payments'. 7) Starting with the verified total of 105,308.87 in total interest savings, and subtracting out the 14,539.13 in 'over-payment' interest savings, that leaves us with 90,769.74 of remaining 'unaccounted for' interest savings.8) Now if we plug a $130 'loan' in at a 312 month term, we get...90,769.73 in interest that would have been charged.

I figure what I can sell the property for and subtract how much it costs to buy it, my cost of money, my cost of closing for buying, my cost of utilities, my cost of rehab, my cost of closing for selling, real estate agent fees, insurance, any transfer taxes, property taxes, and IRS taxes.