Deducting Interest in 2018?
I am a CA resident looking to start REI, most likely as a sole-proprietor at first. I am expecting that all my expenses concerning the investment, such as interest, will be a write off from my REI income. In fact I have a few questions.
Under the new tax plan, can I:
- Write off interest from my profits?
- Takes profits as a pass-through at the new 20% tax rate?
- Fund my real-estate directly through my personal funds?
- Assuming I run the REI as a sole proprietor
- If I run the REI through an LLC, can I still fund the LLC directly through my personal checking account?
I believe with the $24,000 standard deduction as well as ending the state tax deduction, I most likely will not be about to write off a personal mortgage, however I am wondering what changes for mortgages for my REI?
I'd appreciate any explanations or clarifications. I am under the assumption Trump's tax plan will actually help REI, I'm just not sure about the nuances.