S-Corp for rentals and flipping

[Jonathan B.]

For the tax savvy

I currently hold rentals in an LLC

The same LLC is the owner of another entity which engages in flipping.

basically all flipping income flows through K1 to my main entity (which owns rentals) and the to me directly as it's a flow through.

I am pretty sure there may be a better way to do it.

My cpa suggested that should be taxed as S-Corp on my main holding entity which will pay a salary to myself.

Any thoughts or suggestions to improve / insights ?

Thanks

[Basit Siddiqi]

You normally do not want to hold appreciating property such as real estate within an S-Corp.