(No more than 1 min.)Use the the acx site to audition for books.

I'm also hoping to get another property before the end of the year that won't have much time to bring in any income but will need the same outfitting.Going through this with the tax advisor last week, he strongly urged me to consider just carrying the losses forward, if I even had any, since they would be small compared to the cost of an audit and a one-time artifact of the startup processes.  

Imagine she gets audited and it's determine basis was incorrectly calculated and she owes money.

I suspect one could ask for audited financials for each project ? 

I was audited and IRS said I owed them high 6 figures in taxes for 79 and 80.

So I had my accountant do an audit and found things like billings for 36 blinds being billed to a unit that had only 8 windows.  

The IRS trusts you until they decide to audit you, they have no way of knowing your exact expenses, but don't make expenses up or in the words of Liam NeesonThey will look for you...They will find you...and they will.....

The best sources are the RE books used in RE schools for Realtors, better yet take the course, you may be able to audit the corse for less as you don't need to take the exam.

I did actually point out to the loan officer (lol) that according to Fannie guidelines they can accept current year earnings as long as you can show an audited profit and loss showing the good numbers they want to see.

I know loans are not taxable income, but I'd like to avoid getting audited.