On the other hand if someone's only source of income was flipping the same two houses the facts would lean towards a business subject to the SE tax. 

It's also per se defamation, which means they don't have the burden to prove harm. 

You still have to pay the SE tax of "owning" the LLC correct?

I also invest in the SE WI area. 

@James Syed A 9 months rehab to sale cycle is quite a long time for $10,000; especially if the $10,000 is before both capital gains (15% or more) and SE tax (15%) which may average another 30% of the $10,000 profit.

You can pay kids two ways: - 1099s (The income will be subject to FICA tax 15.3%)- W-2 - Might avoid SE tax (FICA TAX). 

It's very thin, but it's T&G hardwood, not laminate or engineered.For my personal residence, I am building a timber frame home in SE Indiana on a 15 acre mini-farm.

I've seen some posts claiming taxes as high as 50% if SE and state tax is included.

http://joe-delia.blogspot.com/2013/03/southeast-michigan-market-report.htmlSome recent statistics for the SE MI market that I'd thought I'd share.

We have had similar results in the SE Michigan area, although it has become more difficult to find good deals since this summer.