It is a tax procedure written into the IRS code and has been around since 1921.

However, I had a specific question. 1- The purchase price of the replacement property is less than the gross sale of property sold and more than the net proceeds. 2- I put down the deposit to purchase the replacement property from my personal account and the commutator need to return it to me (which they will report to IRS as proceeds to me).What do you do in this case to avoid audit?

But if I do that, I think I have to submit some kind of form to the IRS to document that?

He states that the IRS has specifically notes Real Estate in the SDIRA guidelines, but not anything like notes.Also, I have recently formed an LLC from which I will be JV partnering with investors to purchase and work out NPNs.

I should be able to write off the entire amount in 2017 from the accelerated depreciation (up to $5,000 per IRS Publication 535(2015)).  

https://turbotax.intuit.com/tax-tools/tax-tips/Taxes-101/What-Is-a-Schedule-E-IRS-Form-/INF15272.html

I'm in New Zealand (I know Canberra well) and have a few investors & an IRS Registered CPA living in Australia.

I'm going to start renting out my first house in January and I'm curious if there's any sort of cheat sheet / checklist / reference of all of the different tax deductible expenses that fall under the 16 IRS categories.  

I have a great credit score so I'm expecting not to get hit too badly when it comes to the interest rates (in spite of IR creeping up.)I've been considering going traditional 30 ry Fixed since this would be my 1st buy.

I am also a CPA and I used to work for the IRS.