Structuring Corporation for House Flipping
2 Replies
Adam Tetrick
posted 5 months ago
My friends and I have started a REI partnership and want flip a couple houses to start out.
I currently have a C Corp in my name, what the best way to structure this Corp for tax purposes?
Zach Westerfield
from Warner Robins, GA
replied 5 months ago
im not a lawyer or CPA, but most recommendations are to structure as an LLC which files as an S Corp. thats what i did for my flips
Ashish Acharya
Accountant from Atlanta, GA
replied 5 months ago
Originally posted by @Adam Tetrick :My friends and I have started a REI partnership and want flip a couple houses to start out.
I currently have a C Corp in my name, what the best way to structure this Corp for tax purposes?
I think you are better off starting a new corporation (Either C Corp or an S Corp -depending on your personal financial situation). They are they are taxed very differently. So you might want to consult with a tax advisor.
If you want to use your existing corporation then your friend has to buy the shares.