Do you rent buildings or equipment to your business? Then be careful. Very careful. You see, in all probability you likely face the self-rental rules. If you’re not sure what these rules mean to your business, now’s the time to find out. How you organize your rentals can have huge tax implications. You’ll get complete information when you read my new article titled Tax … [Read more...]
Rental Properties
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Release Rental Losses Trapped by Passive-Loss Rules
Ouch! The tax law’s passive-loss rules can really hurt a rental-property owner. As you may have already discovered, these onerous rules can “trap” property losses and cost you big money in taxes. Which is why my new article makes must reading. You see, with proper planning you can release those trapped tax benefits and use them to reduce your tax bill. You’ll find out how … [Read more...]
How to beat the self-rental deduction trap
Last month, I wrote an important article that explained how renting an office to your business can create a trap that crushes tax deductions. The solution to the problem that I outlined involved having your business own the building. This certainly solves the tax deduction problem but it opens up the building and your business to additional legal exposure. Is there a … [Read more...]
Can an S corporation provide homeowner tax breaks?
Homeowners are individual taxpayers. Which means they’re eligible for a number of valuable tax benefits. A well-known example: Homeowners can deduct the interest paid on up to $1.1 million in mortgage debt for their primary home. And that’s just for starters. S corporations, on the other hand, offer many tax advantages but deny the homeowner benefits that individual taxpayers … [Read more...]
Beware When Converting a Rental to Your Principal Residence
Thinking about converting your rental property or vacation home to a principal residence? Hoping to take advantage of the $250,000/$500,000 exclusion when you do? Then “caution” is the watchword. You see, the tax laws have changed and how you handle the conversion process can have a huge impact on how much you pay Uncle Sam. You’ll get all the facts when you read my new … [Read more...]