Of course, the taxpayer still owes the IRS the money.

This represents a gray area within the Internal Revenue Code, where taxpayers are currently able to realize certain benefits under the existing interpretation of the law.

To meet his burden of proof under IRC 7491, the taxpayer must comply with the recordkeeping requirements of the regulations.

The IRS treats your LLC and you as the same taxpayer, so it’s ignored for tax purposes.If you want to keep it under the LLC, you’d be looking at a DSCR or commercial loan, which usually comes with higher rates but no personal name transfer needed.Either way, the key is to document your intent clearly and keep your accounting clean so the IRS and lender see a consistent story.Best of luck with your project, and happy to connect!

The disregarded entity is treated as if the underlying sole member is the true taxpayer and will not cause any issues or "red flags." 

Each taxpayer’s financial situation and tax circumstances are unique.

The key principle in a 1031 exchange is maintaining the same taxpayer throughout the transaction.

In particular, when cost segregation advice is provided to taxpayers without a clear explanation of the potential consequences—such as depreciation recapture upon sale—it can lead to unintended tax liabilities and adversely impact the taxpayer’s overall financial position.

., flipping or developing with the intent to sell).As Josh explains, the IRS and courts tend to focus heavily on intent and the taxpayer’s ordinary course of business.

Nor are tax payments, which result in a tax on tax.