My major concerns are tax implication.

When both units are occupied, total rental income will be $2,400, and total expenses (mortgage, taxes, ins.

The tax benefits alone are tremendous if used correctly. 

When evaluating cap rates I'm taking out taxes, insurance, 8% vacancy, 10% repairs, 8% cap ex, and 10% property management fees; however, if I lower all of those percentages then my cap rate is higher - is everyone using lower percentages and that's how they're finding cap rates of 10%, or am I truly looking at a lot of overpriced MLS properties?

Their rent is below market and I still get all of the tax benefits of any other property in my portfolio. 

Just make sure they specialize in tax and have significant experience dealing with real estate investors.There are very few who specialize in real estate AND Self Directed Retirement Accounts.Here is a great list of questions to ask a potential accountant: http://www.biggerpockets.com/forums/51/topics/7044...Also check out the www.NAEA.org page in your search.

With both of us debt free, we are starting our wealth accumulation/building phase of our life, and we know we need three things from previous research weve been doing, that is paper assets (jobs,401k,Roth IRA, Tax Accounts...), Business (have a few ideas of some businesses), and what brings us to this awesome place, REAL ESTATE. 

I typically have handled and enjoy the Analyzing, Financing, Negotiations, Systems, Automation of the business and year end taxes etc...

Even tried going to the tax department at the township and they couldn't help.

So, using some of your rudimentary figures, and making up some: If you average $40k per year net income (after taxes), and you can live off of half of that, you will have $20k/annually to do something with.