LLC questions and taxes
I started an LLC at the beginning of this year and purchased my first investment property shortly after. The issue I have is that the LLC was meant for another business I planned on starting before this BRRRR fell into my lap. I'm new to the whole entrepreneur world and was wondering if that business that I planned on using for an online store could instead be used to write off expenses on my property rehab. And should I also put the property under the LLC? This is a major equity play and I would hate to lose it to a bad tenant or mishap of some sort.
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Bryan the LLC will have an impact on his taxes depending on if he's having it taxed as an S corp or not.
@Brendan Reilly you mentioned a bad tenent? Is this property a flip or a rental?
That will effect your tax treatment as well. If it's a rental any improvements/renovations get added to the basis of the house and depreciated, you don't get to just expense most of them.
