Great tools that get updated regularly.I am on the lending side of things and would be happy to hop on a call with you anytime to discuss financial strategies and help answer any questions you may have about nearly any loan product available to help you on your journey, even if they are not products my capital partners offer.We are all here to help you learn and grow.

The IRS focuses on intent rather than a specific minimum holding period.The benefits of the primary exclusion out way renting your primary, deferring, and doing a 1031 exchange.

& different parts of the asset can be depreciated on different schedules.To find out the useful lifespan of each component, you do a cost segregation study to analyze all of the parts.The raw land can't be depreciated so you start by giving that a value first.But other items can be depreciated on a quicker timeline.A roof, road, sidewalk, fencing, walls, gates, doors, latches, flooring, air conditioners, pavers, curbing, landscaping, etc.The IRS has a depreciation schedule for each type.Some parts are 5 yrs.

Since each of your LLCs owns 50% of the holding company, but the holding company doesn’t own your individual LLCs, the IRS will likely treat your LLCs as separate, single-member LLCs for tax purposes.

It puts each expense in the appropriate IRS code and punches out year end summaries that I email to my tax team. 

There are no IRS liens or FTB liens.

To determine if the expense should be classified as a capital improvement or a deductible repair, the context of the expense is very important.An example is, if an item of expenditure is part of a general plan of modernization, renovation or rehabilitation to equipment or other business property, it typically must be capitalized even though on its own it would be currently deductible.According to IRS Code, expenses that you must capitalize are those that:Materially increase valueSubstantially prolong useful life (including replacement of deteriorating assets)Adapt the property to a new or different useHowever, you are allowed to deduct expenses and fees for routine maintenance and repairs that help keep the property in efficient operating condition.

The IRS will require them to charge a “reasonable interest rate” if they supply seller financing.

I made myself take QB classes and struggled for years, my CPA said what I am doing is about 80% correct and it was a ton of work to clean up the files. 80% is not acceptable for me when it comes to IRS stuff.

To avoid any confusion, this is not the same thing as ( “home sharing”, or an “owner-occupied rental.”)Improvements generally need to be depreciated over 15 years, note I said generally, depending on the nature of the improvement and how long the IRS standard depreciation period is for the cost and size of expenses.Strategies depend on a number of things including, but not limited to: type of property, your material participation, how long you plan to hold it, your goals.