Even if you create a non-CA LLC, if you are managing the business from California, you will likely be deemed to be "doing business" in California and therefore likely subject to CA taxes.

When the IRA invests in real estate using debt not only does it have to be non-recourse but the IRS says, you can use leverage but since you aren't only using IRA money for this investment the retirement account is going to pay UBIT on the income generated because of the debt. 

Also there is a new thing called "novation" and I am not an expert on this and can't comment on it.

Or, depending on the property you could go non-QM with like a DSCR loan and close in an LLC or partnership.

I am no expert and just do what I am told.  

Heck, you process debit cards if you insist for 1/10th the cost and non-reversible. 

The rates vary throughout the State because of the different millage rates and tax districts, but in Richland County for instance, the taxes essentially triple once it goes from legal resident to non legal residence. 

A lot of my clients want to get into real estate, but I’m not an expert on the investment side, so I’m looking for some advice.When it comes to using funding like this, what strategies do you think work best?

To maximize the number of transactions you’re involved in you will need to:Be Top of Mind when they think about moving - which requires consistent reminders.Be seen as an Expert – which requires a consistent message and Evidence of Success storiesGain their Trust – which requires communicating integritySo, start out by listing everyone you know in an Excel spreadsheet.

: Experts at sourcing viable properties to market for sale.