Investment property owners have many considerations when estate planning. The financial and lifestyle objectives of investment real estate owners change as they enter new chapters of life. Many of the property owners we work with no longer want to spend time managing tenants, addressing new regulatory issues and paying for large capital projects. What they…
Investment rental property, whether houses, apartments, vacant land, commercial buildings, shopping centers or warehouses, offer big tax incentives for investors who understand the special but complex tax rules and regulations related to these investments. Real Estate Professionals The best breaks go to “real estate professionals,” defined as those who spend at least 750 hours per…
In a recent U.S. Tax Court matter, it was found that a taxpayer could not deduct a loss from their sale of real property due to the fact that they failed to establish the cost basis of the property sold. Losses are not deductible relating to non-business dispositions; therefore, taxpayers are not allowed to deduct…
California realtors are reviving Proposition 5 just a few weeks after voters squashed it at the ballot box. It would expand the portability rule for homeowners protected by Proposition 13, but Prop 5 only got about 41% of the vote. The California Association of Realtors says it was disappointed by the results, but not…
What is a Qualified Opportunity Zone (QOZ)? A QOZs as described under the 2017 Tax Cuts and Jobs Act is a social program with the intent of redeveloping impoverished districts throughout the country by driving private capital to over 8,700 underserved communities and 35M Americans throughout by offering tax incentives to investors. (1)
Lawmakers in Los Angeles seem to be taking a cue from our own Board of Supervisors as they explore legislation to impose a tax penalty on property owners who leave residential rental units vacant. As John Phillips notes in the Los Angeles Daily News, Los Angeles City Councilmembers Mike Bonin, Marqueece Harris-Dawson, Paul Koretz and…
When considering a Delaware Statutory Trust (DST) property for a 1031 exchange, investors and their CPAs must also consider the tax treatment of DST properties. This article gives a brief overview of the various Delaware Statutory Trust tax treatment and DST taxation topics that investors should understand and go over with their CPA and tax attorney prior…
Dear Housing Providers: A Constitutional Amendment was just introduced that could quickly DOUBLE the two-billion-dollar parcel tax burden already imposed on homeowners. Yes, double! California is the only state in the USA where parcel taxes are even legal. Parcel taxes were invented here to dodge Proposition 13’s 1% cap and now Senate Constitutional Amendment 22…