Investor Friendly CPA Recommendations (Massachusetts )

[Kevin Hutchens]

Hi Everyone!

I’m looking for suggestions or investor friendly CPA versed in Massachusetts high tax environment. My wife and I now own 4 doors split across 2 states and we’re getting a little overwhelmed with figuring out what we should be doing for business structure to shelter as much as we can from taxes.

We'd love to find a way to file taxes for one parent company with each house being a separate company underneath it (sort of like a series LLC, but as far as I know Mass doesn't offer that structure).

Any recommendations to someone who can help would be a huge help!

Thanks!

[Basit Siddiqi]

@Kevin Hutchens

Creating an entity / establishing a business structure may not actually save you from paying less in taxes. 

To achieve what you are looking to do is easy.

Establish one LLC where you and your wife are members of an LLC. We can call this Parent LLC
Then create 4 additional LLC's where Parent LLC is the sole member of.

You are paying for 5 LLC's and the cost of 5 operating agreements(likely can be duplicated). You may also be required to pay for a registered agent in states where you own property(outside of MA).

In regards to searching for a CPA, it may be advised to search for a CPA who understands real estate and MA state tax well(likely a CPA in the the northeast).

Good luck in your search.