"I pay Zero Taxes"

[Mario Morales]

I don't understand how investors say I dont pay taxes, is that for the advanced investor with many properties or assets? I have 3 buidings and from what I gather, I want to show on my schedule E that my buildings are profitable to take out my next loan, but if I take too many deductions and not pay taxes, I am not profitable. Am I missing something?

[Corby Goade]

There's a HUGE difference between being profitable in real life and profitable according to the IRS. 

The way investors get around paying income taxes is through scaling, increasing and accelerating depreciation. It's a double edged sword though- once you start, you have to grow exponentially every year or the tax man will get to you. It's not for everyone, and as much as I hate paying taxes, it's okay to pay a little bit and not have FOMO or tons or anxiety.