On Jan. 31, 2024, the House of Representatives passed the Tax Relief for American Families and Workers Act of 2024. The bill includes favorable tax changes for business owners and real estate investors. The bill currently sits with the Senate which is on recess through Feb. 23, 2024.  Many senators have shown an inclination to edit the current text of the bill. There is a strong chance this bill will not be stand-alone, but instead, will tied to the appropriations bill (government funding deadlines on March 1st and March 8th). If true, the bill will go back to the House for a vote befo ..read more

Calculating land basis is an important step often overlooked by new landlords or CPAs who don’t know what they are doing ..read more

There are three types of income: earned income, passive income and portfolio income ..read more

Have you ever had a large check or bill payment you were racing to make at the end of the year?   Ever wondered what happens if the check or bill cleared the following day, and it crossed the tax year?   A recent tax court case gives us clarity.   In TC Memo 2023-47, an Oklahoma taxpayer appeared before the tax court. Back in 1995, when the bison roamed the plains of Oklahoma, the taxpayers of this case purchased a nursing home. They borrowed several million from a mortgage company. The TLDR for the case? The taxpayers had a check payment that crossed tax years and claimed ..read more

Accredited investors play a crucial role in private placement opportunities, such as real estate syndicates and funds. Historically, the requirements to become an accredited investor were based on income and net worth thresholds. However, recent developments have sparked discussions about reforming these criteria to focus more on knowledge and expertise in private investing. This blog post explores the changes in accredited investor requirements, potential implications, and the ongoing debate surrounding these regulations ..read more

Real Estate Professional Status (REPS) is enticing to real estate investors for a few reasons, not least of which is the tax benefits ..read more

If you own several rental real estate properties, you’re probably at least somewhat familiar with the various real estate tax opportunities available to you.  ..read more

Qualifying as a real estate professional offers significant tax benefits. This designation enables real estate investors to have the income and losses from their rental real estate properties treated as non-passive income, rather than the default passive characterization. When combined with depreciation, real estate professional status allows investors to save tens of thousands of dollars on taxes.   ..read more

Qualifying as a real estate professional is an attractive opportunity for many real estate investors. The designation offers significant tax benefits, often enabling full-time real estate operators to save tens of thousands of dollars on their annual taxes.  ..read more

If you’re a real estate investor, you’re likely well aware of the tax benefits that come with building a portfolio of rental properties.  ..read more