Can you partner on a deal 1 sdira and 1 not?

Question

Is it possible to partner on a deal when only one partner is using an sdira?

Kevin Allen · Answer

When you factor in depreciation.......does only one person depreciate half on their taxes?  I know you can’t use depreciation while using a sdira but can the other person  still depreciate their half?

Haley Gant · Answer

Hi @Kevin Allen, yes, you can partner an IRA with non-IRA funds, and essentially divide up the percentages of ownership on the investment. It is important to remember that if you do this, each party needs to pay for expenses proportionately based on the percentages of ownership, and profits will be split accordingly as well. Partnering can be a great strategy to grow a small IRA, use multiple IRAs together, or to use both your IRA and your own personal funds together for an investment.

Haley Gant, CISP

Quest Trust Company | www.QuestTrustCompany.com  | 855-FUN-IRAS

Carl Fischer · Answer

@Kevin Allen

Yes you can partner with an Ira. Consider the Ira a trust that the irs has rules and regulations. Work with people that do it and have done it.

Taylor L. · Answer

You can partner with someone else's SDIRA all day long. However, you cannot partner with Bill's SDIRA on Property A and also partner with Bill on Property B. Business partners are disqualified.