If you find that you really need a deduction, it might be worth exploring the possibility of pushing the closing on your property into 2024.

Will business expenses be deductible for all against other active income - or only for me?

Different portions of land and building might be subject to different tax rates or legal considerations.Calculating land and building values for tax purposes is a critical step toward maximizing your available tax deductions from depreciation.

Correct me if I'm wrong but since the Roth IRA has no tax liability, the depreciation deduction is basically lost.

Insurance would cover it, I would pay the deductible, and no assets would be lost.If you are in an area like San Diego where people are more likely to sue, a judge is more likely to find you guilty, and the payout is expected to be higher, you may consider an umbrella insurance policy.

What a lot of people think:Bonus depreciation is only for new properties or acquisitions.The truth:You can retroactively apply bonus depreciation to property placed in service after September 27, 2017, when the Tax Cuts and Jobs Act passed changing various rules.The IRS allows you to claim missed depreciation deductions by adjusting your current year's tax return, without needing to amend the previous year's returns.This is typically done through a change in accounting method using IRS Form 3115.

I have a few things I am hoping to get some guidance on if possible:1) Can itemized deductions just be the quotes for things needing fixed/ cleaned?

Deduct NEW property taxes after you buyDeduct home insurance costsDeduct maintenance percentage, typically 10%Deduct vacancy+tenant nonperformance percentage(we recommend 5% for Class A, 10% Class B, 20% Class C, good luck with Class D)Deduct whatever dollar/percentage of cashflow you wantNow, what you have left over is the amount for debt service.Enter it into a mortgage calculator, with current interest rate for an investment property, to determine your maximum mortgage amount.Divide the mortgage amount by either 75% or 80%, depending on the required down payment percentage - this is your tentative price to offer.If the property needs repairs, you'll want to deduct 110%-120% of the estimated repairs from this amount.Be sure to also research the ARV and make sure it's 10-20% higher than your tentative purchase price.As long as the ARV checks out, this is the purchase price to offer.It is probably significantly below the asking price.

My tax person says I can deduct a % of the repairs I've done based on the SQ Footage of the basement unit.

Sucks as I have a high deductible and just paid out of pocket.Typically the only time they are responsible is if you had previously notified them the tree was dead and they did not do anything about it.