Hello @Mohammed AhmedA single person is able to gift up to 14k per person per year without paying gift tax. A

I'm from Sao Paulo, Brazil.

Ask for actual revenue over the last two years for a unit at that complex and make sure they do not include the tax as that is not really revenue for you.

If I do this, she wants me to pay 30% of the property tax as well. 

Plus the addition of 3.8 investor income surtax.If a dealer, you pay ordinary income up to 35% plus 15.3% SET and no investor income surtax.IRS can hit a flipper with SET even if only doing 1 flip per year.To minimize as much tax as possible, keep really good records and speak with a CPA to make sure you are using the right business structure.

No reason to get crazy with HML or anything like thatEasy to manage this rental for a couple of years to avoid short term gains tax as it is down the street from my house.  

(Unless you elect to tax as a corp or S corp)Jackie, not sure what you mean by2. you pay taxes based on whats left after expenses opposed to it coming off the top..The obvious liability protection you are assuming is not near as strong as you might expect,I am not an attorney.

(apologies for that)Persons wanting more info can get that if they wish to partner up on some deals.Regarding Estate Planning - I had a number of attorneys as clients whom I advised in respect of their client's Estate Planning and Tax as well as for their own personal needs.

Didn't think it was really the time to get pedantic or start talking about the ins and outs of real estate investing and tax law when that's not what the post was about.We don't really know what kind of investing the OP is doing with the loans from his family and friends, but with 20 years of experience in tax, I'm sure you're well aware that your argument for why the OP should structure his business "your" way completely falls apart as soon as you start to think about it.But since you have 20 years of experience, I'm sure you are aware that with flipping, the IRS considers the intent of a transaction and so, in the vast majority of cases, flipping is considered to be ordinary income, subject to self employment tax as well as the taxpayer's marginal tax rate.  

Same business model.As such, there are techniques that MIGHT work for you to reduce Self Employment tax as an S-Corp.