As far as I know, because it's a flip I'm pretty sure you'll need to pay SE taxes (15.3%) and ordinary income tax (whatever your tax bracket may be) as well as any depreciation recapture you took in 2018 (this year tax return) which I would assume none because you were probably still in the process of renovating. 

Hello All,As a high income W2 earner I am not looking for investments that increase my ordinary income.  

How to be a porn star by Jenna Jamison :lol: I think the 4 books that have all had an affect on me in this order are :•The Intelligent investor by the Godfather, Benjamin Graham•The Black Swan Nassim Nicholas Taleb•Fooled by Randomness Nassim Nicholas Taleb•Extra Ordinary popular delusion and the madness of crowds by Charles McKay

2) Is interest taxed as ordinary income?

This means that, yes, they can work something out with the neighbor (family or not) to come in and out of the home in order to handle any ordinary business that may need to be done.

The book is about ow to do the business....taxes are a given and vary by situation.But, flip profits are Not cap gains, they are ordinary income also subject to self employment tax. 

If you are organized, pay off your credit card in full every month and just pay your ordinary expenses with it you can easily earn and extra $2-3k/year per person (you and significant other) for doing nothing other than rotating out cards. 

I'm reading conflicting on NOLO (https://www.nolo.com/legal-encyclopedia/taxes-when-landlords-sell-rental-real-estate.html) and IRS (so I assume IRS is the correct one, https://www.irs.gov/publications/p544#en_US_2017_p...) that the depreciation recapture is ordinary income or depreciation recapture is only 25%. 

If you are the sole owner of the property when you flip it, then the profit on the sale will be taxed as self-employment income at your marginal tax bracket rate for your ordinary income.  

It wasn't anything out of he ordinary I seen, I've wholesale them over two dozen properties this year and I love to follow up with the properties until they are resold.