Updated over 8 years ago on . Most recent reply
Do I separate LLC for both my flipping & rental buisness?
I have been flipping houses for 3 years now under my LLC, but was wondering if I should start a new LLC specifically for my rental properties. How does everyone else structure their flips and rentals?
Most Popular Reply
wouldn't hurt to separate DEALER property like the flips from the INVESTOR buy and holds for IRS audit purposes. The difference could be between 43% Federal tax and 20% Federal tax (capital gains).
Dealers can not take capital gains!