Short answer: An LLC can improve liability protection and simplify ownership, but tax treatment, financing, and transfer logistics matter. Here’s how to decide—and how to do it the smart way. Why Owners Consider an LLC 1) Liability protection (the big one).An LLC helps separate your rental’s risks from your personal assets. If properly formed andContinue reading “Should I Put My Rental Property in an LLC? (Liability & Tax Guide)”
Author Archives: FREA
What Happens if I sell a Property in a Revocable Trust
When you sell a property that is held in a revocable trust, the process generally works as follows: Always consult with a legal or financial advisor for guidance specific to your situation, as their expertise is invaluable in navigating complex issues. Whether you are facing a significant life change, such as starting a business orContinue reading “What Happens if I sell a Property in a Revocable Trust”
Do Trusts Have to File a Tax Return?
Trusts are often used as estate planning tools, providing benefits such as asset management and tax advantages. However, one common question that arises is whether trusts are required to file a tax return. The answer depends on several factors, including the type of trust and its income. This article will break down the requirements forContinue reading “Do Trusts Have to File a Tax Return?”
Tax Implications of Applying for FAFSA
Applying for FAFSA (Free Application for Federal Student Aid) itself doesn’t have direct tax implications, but there are several indirect ways that FAFSA and the resulting financial aid can affect your taxes: 1. Tax Information Required 2. Education Tax Credits 3. Scholarships and Grants 4. Student Loan Interest Deduction 5. 529 Plan Contributions and WithdrawalsContinue reading “Tax Implications of Applying for FAFSA”
Tax Implications of Refinancing a Property
Refinancing a property can have various tax implications depending on your situation. Here are some key points to consider: 1. Interest Deductibility 2. Loan Origination Fees 3. Property Taxes 4. Home Equity Loans 5. Tax Basis and Capital Gains 6. Possible Taxable Income 7. Points and Loan Modification General Advice: If you have specific detailsContinue reading “Tax Implications of Refinancing a Property”
Understanding Cash Basis vs. Accrual Basis Accounting: Which is Right for Your Business?
Accounting Treatment for Real Estate Project Costs
Project costs related to real estate can be tangible and intangible. A simple way to distinguish between these costs is if you can physically touch the item related to the cost; it is tangible while if it just a cost on paper that does not have a physical equivalent, it is intangible. Examples of tangibleContinue reading “Accounting Treatment for Real Estate Project Costs“
Florida Real Estate Accountants 