In my jurisdiction, they will adjust your taxable value the day you close, and if it has been a while since this deal closed, often times the taxable value that seller is paying on has not kept up with market values.  

In short, if I invest $100k on a new property for long term rental, I want to make sure that I can position the $100k fully as a business loss in 2024 reducing  my total taxable income by $100k. 

All of those expenses to keep up the property are deductible from the rent paid by the tenant so they reduce taxable income which directly reduces taxes. 

Rental income, after allowable deductions, is taxable as ordinary income.Business Licenses and Fees: In BBL, you'll need a valid business license to operate an STR.

My primary goals in real estate investing are to diversify my investment portfolio, build generational wealth, and lower my taxable income.

Think of it not as ‘getting money back’ but more as reducing your taxable income, which can lower your overall tax liability.

If everything is done correctly, you will have no taxable income.

I don't think it really matters what you record in QB if you need this for taxable income purposes, your accountant is going to make whatever adjustments they need to make anyway.The only depreciation tracker I use is the fixed asset schedule my accountant provides with my tax return.

Here’s a quick rundown on how things could work with taxes:1.Depreciation: You can write off depreciation on the units you rent out, which lowers your taxable income.

The 1K a month (12K annual) will be reinvested into the property to minimize taxable gains in total portfolio and increase the value of the property.