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Updated over 5 years ago on .

User Stats

399
Posts
260
Votes
Kyle Mitchell
  • Multifamily Syndicator
  • Greater Los Angeles Area
260
Votes |
399
Posts

Self Employment Tax on Asset Management Fee?

Kyle Mitchell
  • Multifamily Syndicator
  • Greater Los Angeles Area
Posted

I just purchased my first two apartment building via syndication last year and we collect a 2% asset management fee. My CPA is now telling me that this asset management fee will be subject to self employment tax. I run this fee through my company (LLC) and do not take any distributions. Is this accurate that this fee should be subject to a self employment tax?