Taxes and Startup Costs

2 Replies

Hello BP,

Was hoping to get some insight on running a business and some of the tax benefits involved. I am mostly interested in the possible tax deductions that I can get from spending money on my real estate business. As of late, I have been starting a real estate business and have began to spend some decent money from my 9 to 5 job on this endevour. Most of my expenses so far have been on essential things like a website, attorney fees, networking events, marketing. I would like to see if some of these expenses will turn into money at the end of the year.

Also are you required to form a fictitious business name or entity for any of this to matter. Your input is greatly appreciated.

@Ryan LaRocca - What type of business is this? I am not a CPA but I believe all start up costs like this are deductible.

If it is a buy and hold business then I know the costs are either depreciated over time or deductible in the year they are spent depending on the typr of expense and if it was spent before or after the property was put into service. @Steven Hamilton II might be able to answer more specific questions

Originally posted by @Ryan LaRocca :
Hello BP,

Was hoping to get some insight on running a business and some of the tax benefits involved. I am mostly interested in the possible tax deductions that I can get from spending money on my real estate business. As of late, I have been starting a real estate business and have began to spend some decent money from my 9 to 5 job on this endevour. Most of my expenses so far have been on essential things like a website, attorney fees, networking events, marketing. I would like to see if some of these expenses will turn into money at the end of the year.

Also are you required to form a fictitious business name or entity for any of this to matter. Your input is greatly appreciated.

What type of business are you going to be starting? Brokerage? Flipping? Wholesaling? Landlording? etc?

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