All Forum Posts by: Corrine Bordua
Corrine Bordua has started 1 posts and replied 6 times.
Post: Sold Business - Need to Prevent Huge Tax Bill - Real Estate?
- Investor
- South Windsor, CT
- Posts 6
- Votes 5
Congrats on your sale Kurt! I work with an Enrolled Agent who provides advanced Tax Strategies to help minimize tax obligations - feel free to reach out if you need a referral. He is located in CT, but helps clients nationally. I always can count on him to answer my wacky tax related questions :)
Originally posted by @Kurt Linwood:
Hi there
I am brand new here and I am not sure this will be posted, so I am going to make it concise:
I have a business that I recently sold for 4 million.
I am going to have a large tax bill.
I did not sell my LLC, just the assets and the inventory.
Can I use this LLC to now buy real estate as a write off? Perhaps just buy something outright as a huge writeoff?
I am having the hardest time finding an answer to these types of questions.
I am not quite sure my account knows what she is talking about. Would most CPAs know a lot about this stuff?
Is it a certain type of CPA? Or is a tax attorney my person?
Thank you.
Post: Big Tax Savings help build Real Estate Portfolio
- Investor
- South Windsor, CT
- Posts 6
- Votes 5
Thanks Brian - glad to help! If you don't find anyone local to work with, our EA helps clients virtually nationwide. Keep rocking it with your agency and portfolio building !!
Post: Big Tax Savings help build Real Estate Portfolio
- Investor
- South Windsor, CT
- Posts 6
- Votes 5
Post: Big Tax Savings help build Real Estate Portfolio
- Investor
- South Windsor, CT
- Posts 6
- Votes 5
Hey BiggerPockets, I recently have done a lot of reading about tax saving strategies for our business (we own a successful farming operation), and discovered multiple ways that we could save a TON on taxes - which means more money to put towards real estate!
Now, of course using real estate is a strategy on its own when it comes to taxes, but I also wanted to share how changing our business entity, and using the Augusta rule has saved us close to 50K in taxes this year.
By opting to have our LLC taxed as an S-corp we saved 15% on a large portion of our taxable income. In addition to that, we recognized we were using our home to host business meetings without ever charging our business to "rent" the space. So, now we rent our personal home to our business up to 14 times a year to host meetings and get to use it as a deduction on our business, but don't have to claim that income on our personal taxes.
Now, when we brought these strategies up to our CPA, he told us it would be a lot of paperwork, and tried to talk us out of it (because he was being lazy)... so we found someone new to work with. We found an Enrolled Agent whose focus was on proactive tax planning and strategizing, which is exactly what we were looking for. We knew there were more tax deductions available to us, and finally realized that our CPA wasn't actively seeking out ways to save us money.
So, the morale of the story is, don't settle for your CPA if they aren't working towards the same goals as you. We all know how valuable it is to have the right people on your team.
Do any of you have favorite tax deductions you utilize in your businesses?
Post: How are you guys collecting rents?
- Investor
- South Windsor, CT
- Posts 6
- Votes 5
We use COZY and really like it. Was referred to us by a friend, and I like that I can tell my tenant that repair requests can be submitted there as well so that we can avoid direct contact.
Post: What's one quality you look for in a real estate agent?
- Investor
- South Windsor, CT
- Posts 6
- Votes 5
I am looking for someone who is strong, and doesn't take no for an answer. Too many agents, and people in general, will hear an answer as No and then give up. I look for someone who is going to figure out how to make it a yes, and be willing to put in the work to help me accomplish my goals.