Get an attorney, if the permit was issued prior to the FEMA reg, screw FEMA and the city, thier mistake is not your loss, sue thier tails for the loss.Other wise, dump it and get what you van and walk away.

Someone told me that for passive investment, we cannot claim a loss and use the loss to offset our other income, if I include depreciation in my calculation, then I will have a loss in my rental ppty. thanks

Taxact is pretty cool because it keeps track of all that stuff (depreciation, carryover losses) plus I read the Nolo book on taxes.

Under these circumstances, will the C corp still subject to the passive activity loss limit if for a particular year the rental expenses are higher than the rental income?

The civil offense is your loss of the money.

Again I would like to hold this property as a rental after moving out, but suppose I could also use this as a short term place to live and do a 1031 exchange in the future, but would take a loss on selling and closing fees. 3] This is the more extreme, but possibly financially best, strategy in my mind.

Are you talking about an umbrella liability policy or a "commercial" policy that will cover multiple properties on one policy for loss and liability?

A deficancy must be sought within one year opposed to five.A deficiency can only be sought after the foreclosure process has completed so a loss can be computed.Among other things, the bill helps speed up the court process.

Can I claim that as loss for tax purposes?

.- My expenses from my rentals, including depreciaiton, have me showing a net loss, but not enough that I have reached the passive activiy loss limit.- My wife's side business has a net profit.The idea would be that since we take the standard deduction, it would be nice to find a way to create an additional deduction on our W2 income by redirecting our contributions through one or both of our businesses to either increase my losses on the rentals up to the passive activity loss limit or reduce her profits on her side business.Obviously this won't help us on our 2013 taxes since I'm just now thinking of this but I'm just wondering if there is any validity to the idea going forward.Thanks!