All Forum Posts by: Tanner Bellamy
Tanner Bellamy has started 1 posts and replied 28 times.
Post: CPA causing confusion on STR rules - HELP!
- Accountant
- Southern California
- Posts 28
- Votes 16
I am agreeing with the tax professionals that have already responded. Seems like your current guy is not knowledgable on the rule. But like most of the time, I cannot be sure without knowing all facts and circumstances.
Post: Selling my first home, post-divorce
- Accountant
- Southern California
- Posts 28
- Votes 16
Quote from @James Bradley:
Hi all!
I am under contract on the sale of my first home, I have owned the house for 10 years in Oakland County, MI.
I HAVE lived in the home for 2 of the last 5 years and the reason for sale is my recent divorce. Here are some details;
Purchased: 131k in 2014
Occupied the home until a little over 1 year ago, my ex currently lives there. Refinanced in 2017 roughly to drop PMI, lower interest rate and add my then wife to the mortgage.
Selling for 287k in August of 2024
I know that I won't have to pay capital gains tax on the profits- my question is the profit from the sale still treated like income and taxed accordingly? Or do I have literally NO tax obligation from the sale?
Thank you in advance!
James
Sorry about the divorce. Based off your brief story, it seems that you will be off the hook in regards to paying tax on the sale although I don't feel comfortable guaranteeing that without knowing all of your facts and circumstances.
You may be confusing 'profit' with 'cash from the sale'. If there is a net profit AFTER the Section 120 exclusion then you will pay tax. You should be receiving cash whether you show a profit or not but receiving cash doesn't mean you have a profit.
Post: Looking for CPA
- Accountant
- Southern California
- Posts 28
- Votes 16
You have come to a pretty good spot to find one Donald. BiggerPockets enlists tax professionals that know and understand the tax code as it comes to real estate. Take some time to browse the forums and see which professionals are responding with value to clients. Then reach out!
Post: Boring Buy and Hold Investors
- Accountant
- Southern California
- Posts 28
- Votes 16
Quote from @Chris Seveney:
Quote from @Gregory Schwartz:
Where are all my boring investors at? Does anyone else prefer good old buy-and-hold long-term rentals?
20-25% down, duplex, break even on cashflow in a promising area. That's what gets me excited.
I've done major rehabs, owner financing, private money, partners, out-of-state investing, and Airbnb but still prefer the good ole long-term buy and hold. Even though they make less on paper.
Am I the only one?
As I like to say, you all can go on the roller coasters while you will find me in the lazy river. That is how I also like my assets. No roller coasters anymore, give me the lazy river
Love the metaphor Chris. Haha!
Post: If you use a CPA or Tax Professional, how did you find him or her?
- Accountant
- Southern California
- Posts 28
- Votes 16
Become members of groups of like minded people, just like BiggerPockets, and use their network and referrals. Then interview a few of them and ask them if they have ever used strategies that you are interested in and clients that have had success with it.
You may have trouble finding accountants that want to be interviewed. I know I have worked with some that find it almost as an insult. But do what makes you comfortable. It is your money that is on the line.
There are many tax professionals in this group that are experienced in the RE field!
Post: Must have a CPA?
- Accountant
- Southern California
- Posts 28
- Votes 16
Hi Tomoko,
I wouldn't focus so much on the license that an individual has but instead their knowledge and expertise in your specific field of work, especially for real estate. So I think you hit it right on the nose with your question of someone having knowledge but no license. To me a license doesn't prove one is qualified for a job.
However, having a CPA or EA license allows the individual to represent you before the IRS in the event you get audited. Again, the license doesn't prove that that individual would be best at representation (in my opinion). It simply allows them to be able to represent.
Hope this helps!
Post: Hello BP Community - New tax pro here
- Accountant
- Southern California
- Posts 28
- Votes 16
Quote from @Account Closed:
Welcome to the forum! Are you working for a firm in southern California or do you have your own practice?
Thank you! Both for now but I feel very close to just focusing on my firm. Joining BP might just be the move that puts me over that edge.
Post: Hello BP Community - New tax pro here
- Accountant
- Southern California
- Posts 28
- Votes 16
Hello BiggerPockets people! I'm Tanner from Southern California. I am an Enrolled Agent licensed by the IRS and specialize in real estate taxation. I have been in the industry for 6 years now.
I am looking to spread my knowledge of real estate taxation to the people that need it most. You! Can't wait to help out as many people as I can.
Real estate has always been an interest of mine. Since 2019, my wife and I have completed 2 "live-in" flips. I would love to continue to flip houses but now having two little boys makes the "live-in" part a little difficult.
Outside of real estate and taxes, I enjoy spending time with my family, whether at the beach or in the backyard, and sharing new experiences with my 2 sons.
I look forward to learning more from all of you on the RE side as well.