Many of these GP's are trying to uphold a status or reputation.

I keep comparing to Aussie and other countries world wide.Buyers agents pretty much don't exist and only listing agents do.true, US is almost always the most complicated one, in other country no need to have buyer agent but there're more, no need to pay tax when selling house, no need to put all 2000 pages disclosure when selling house  , no need to have house with so many certification (required in some states ) before renting it out , no need to hire expensive licensed american-born General contractor when repair house, no need to call specialized licensed educated electrician / plumbing with ipod because it's just .... plumbing. no need to pay tax with annual increase .... no need to pay ridicilous amount of insurance every year no need to check their credit score and immigration status when renter is impying LOL the list is on and on

Compare this to other sponsors on here who are getting completed roasted, and it comes down to them being smaller, not communicating and appear to be focused on their next fund and not the ones they have.I think really the key to answer the status of those syndication is if we have AI that can do sophisticated intel and ask something like these :Hey ChatGPT, what is the current occupancy and DSCR of Apartment at 123 Main St, PA 11222 ? 

Your rental income and expenses would end up on your personal return and could net to zero, but not be deductible (unless you have real estate professional status).Bill does have a good idea about living in a residence for two years, fixing it up, and selling it with the exclusion (up to 500k for a married couple), if that was something you wanted to do.  

Its an IRS tax status. 

To cry out corruption is laughable at this point as corruption is the status quo. 

My license states that it is a non-working status.

@Larry KingReal estate professional status has nothing to do with STRs.

This status is achieved by materially participating in your real estate activities.

There is certainly a case such as certain STR activities which may qualify for being able to be considered active income, but it's somewhat difficult to achieve this or material participation status where I think you're currently at.