Most people are unaware that rental real estate gets more tax deduction benefits than almost any other investment. If you do not take full advantage of tax deduction benefits, it can actually mean the difference between having a loss or a profit from your rental investment property. Tax deductions are meaningless if you do not take advantage of them like you should. What are some of the top tax deductions? In no particular order of...
Read More
The Opportunity Zone (OZ) Program was created as part of the Investing in Opportunity Act, which was included in the Tax Cuts and Jobs Act enacted in December 2017. The OZ program was created to encourage private investment in these communities in exchange for capital gain tax incentives. The goal is to use the estimated $6.1 trillion of unrealized private gains held by U.S. households. In exchange for investing in communities in...
Read More
US real estate tax can have a serious impact on the amount of profit made through the purchase and sale of property in the United States of America (USA). It’s a topic that all foreign investors need to understand in order to be invest successfully in the USA. In total, a foreigner investor needs to consider three main areas when it comes to tax; income, capital gains and inheritance tax. The laws are quite complex and require a...
Read More
Choosing the right tax strategy depends on understanding your options and how those options are shaped by the way certain activities are characterized or treated for tax purposes. The tax code is full of tests that determine how activities are characterized and how gains or losses are treated. Following are important tax concepts that should give you the vocabulary necessary to make the most of the strategies available to all tax...
Read More
Our tax law puts your income and deductions into three separate buckets for tax purposes. Each bucket has its own rules and regulations. These are the three buckets: 1. Passive 2. Portfolio 3. Active A real estate rental is automatically in the passive bucket if you do not qualify as a real estate professional. If your real estate rental is in the passive bucket, the bucket has a lid on it that limits rental property loss...
Read More