In Virginia, you'll register with the state corporation commission and provide the lender with the letter from the IRS they provided when you received your EIN number, your operating agreement (hopefully that has your member list and percentage of ownership), your articles of incorporation and a certificate of good standing.  

Estimated taxes are normally paid in April 15, June 15, Sept 15, Jan 15(or dec 15 for some states).The IRS/States like to receive their share of your hard work over time instead of all at once!

I always thought of Roth IRAs as being "tax-free" but it appears that they are subject UBIT if it seems that the IRA "entity" is engaged in activity the IRS considers to be "unrelated" to it primary purpose (in this case, investing for retirement)...Is there anybody out there who is doing this?

@Jack Bobeck  your missing the point  as @Steve Vaughan indicated title is important.the issue is you tell people to buy on leave options .. the seller un be known to you gets sideways with IRS next thing you know there is a 100k lien on the property you have the option to buy.. or any other judgment that comes out of left field your against the person your in contract to buy it from.its one thing if you have no real equity you just move on.. but it you put 50k into reno and find out 2 years down the line there is a judgment lien.. well it creates a real problem.

I wanted to be different, honest, and prove I was cut from a different sheet.In the end, all the above was moot, as this couple's rage and spite for one another was too much to contend with.

The Self-Directed IRA and Solo 401k Similarities Both were created by congress for individuals to save for retirement;Both may be invested in alternative investments such as real estate, precious metals tax liens, promissory notes, private company shares, and stocks and mutual funds, to name a few;Both allow for Roth contributions;Both are subject to prohibited transaction rules;Both are subject to federal taxes at time of distribution;Both allow for checkbook control for placing alternative investments;Both may be invested in annuities;Both are protected from creditors;Both allow for nondeductible contributions; andBoth are prohibited from investing in assets listed under I.R.C. 408(m).The Self-Directed IRA and Solo 401k DifferencesIn order to open a solo 401k, self-employment, whether on a part-time or full-time basis, is required;To open a self-directed IRA, self-employment income is not required;In order to gain IRA checkbook control over the self-directed IRA funds, a limited liability company (IRA LLC) must be utilized;The solo 401k allows for checkbook control from the onset;The solo 401k allows for personal loan known as a solo 401k loan;It is prohibited to borrow from your IRA;The Solo 401k may be invested in life insurance;The self-directed IRA may not be invested in life insurance;The solo 401k allow for high contribution amounts (for 2017, the solo 401k contribution limit is $54,000, whereas the self-directed IRA contribution limit is $5,500);The solo 401k business owner can serve as trustee of the solo 401k;The self-directed IRA participant/owner may not serve as trustee or custodian of her IRA; instead, a trust company or bank institution is required;When distributions commence from the solo 401k a mandatory 20% of federal taxes must be withheld from each distribution and submitted electronically to the IRS by the 15th of the month following the date of each distribution;Rollovers and/or transfers from IRAs or qualified plans (e.g., former employer 401k) to a solo 401k are not reported on Form 5498, but rather on Form 5500-EZ, but only if the air market value of the solo 401k exceeds $250K as of the end of the plan year (generally 12/31);When funds are rolled over or transferred from an IRA or 401k to a self-directed IRA, the amount deposited into the self-directed IRA is reported on Form 5498 by the receiving self-directed IRA custodian by May of the year following the rollover/transfer.Rollovers (provided the 60 day rollover window is satisfied) from an IRA to a Solo 401k or self-directed IRA are reported on lines 15a and 15b of Form 1040;Pre-tax IRA contributions on reported on line 32 of Form 1040;Pre-tax solo 401k contributions are reported on line 28 of Form 1040;Roth solo 401k funds are subject to RMDs;A Roth 401k may be transferred to a Roth IRA (Note that from a planning perspective, it may be advantageous to transfer Roth Solo 401k funds to a Roth IRA before turning age 70 ½ in order to escape the Roth RMD requirement applicable to Roth 401k contributions including Roth Solo 401k contributions and earnings.)

Yonasan,based on what you described you committed prohibited transaction (according to the IRS defenition of it):https://www.irs.gov/retirement-plans/plan-particip...You or any entity you own (your LLC) along with certain family members are considered to be a "Disqualified person" to your 401k.

You want to be able to show the IRS your reasoning and documentation for any expense that you claim.

My mgt s-corp provided the down payments for my last 4 houses on my behalf.Just make sure your state and IRS quarterlies are paid, if any.   

Hi all,I came across this IRS publication with detailed explanation on to how to treat expenses for your rental property.