Do any of you active investors do your own taxes?

[Sean Brennan]

Or do you hire a CPA?

I have always done my own, even since I've been self employed... but I am thinking that if I create an LLC and start doing deals it will probably be a good idea to get a CPA.

What do you think?

[John Chapman]

Dawn A. Taxact is pretty cool because it keeps track of all that stuff (depreciation, carryover losses) plus I read the Nolo book on taxes. There's no way I could do it without the software. I also keep it pretty simple (standard mileage rate etc.). I've got 12 properties and it works out pretty well. Also, I should qualify that I was pretty familiar with tax principles (e.g. passive activity losses, capital improvements, et.c) before I started doing them myself.

That's interesting about double-entry accounting. I've tried to make the switch from Excel to Quickbooks but am struggling to get it all set up.

Finally, I should qualify that I do have a CPA available to use and this year I had him look over my return. He didn't have any comments but I sometimes will ask him a question or two if I can't figure out the answer myself.