It offers zero benefit relative to taxation.

(I read its the best for taxation)I do make $250 profit each month.

http://www.state.nj.us/treasury/taxation/pdf/ttdv1.pdfI was just looking over the ATTD form in advance to figure out how to fill it out once my house is sold.

My question to you is... how do you recommend me to structure/plan my relationship with my money partner to create a proper balance between asset protection, taxation, complexity and financing?

Chicago property tax has gone up this year and will continue to increase in the next 5 years.Based on the calculation from the cook county assessor website, my new property tax at 550k value will be $14k compared to $8k I'm currently paying.http://www.cookcountyassessor.com/Resources/Reside...Does it make sense to refi?

You will have capital gains tax at the federal level of 0-20% most likelyAnd depreciation recapture at 25%Additionally, California taxes the gain at your ordinary income rate. 

Then, if he sold one a year (that is kind of his thought to not pay all the tax at once) the Seller Financed Notes would start coming due the year after he was done selling them - one a year for 7 years.Does this seem to make at least remote sense?

--- simply massive wealth transfer vehicles to avoid taxation, and to keep wealth in the family, and to continue generating income on that wealth by lending it out to the public fora profit?

How much would be the taxation of that $30000?  

Not sure if you're still looking for advice for your colleague in terms of NJ taxation and residency status.