When the property is sold, the depreciation recapture rules will apply, reducing your tax basis and potentially increasing your taxable gain.This sounds like it is straight out of chat gpt and does not answer my question. 🤣  Completely agree

A disregarded entity means that the entity does not file a Federal tax return. 

Cash Out Refi's are not supposed to be a taxable transaction...its one of the enormous benefits of holding RE long term.

It is federal Right, but take a look at the wards in Columbus or Cleveland where a ton of the houses are all rentals.

The form reads Click on to expand:Prosecutors might file federal charges for bank fraud, loan and credit application fraud, wire fraud, or conspiracy to commit any of these crimes.

Each structure has pros and cons depending on your income levels, business goals, reinvestment strategy, and whether or not you plan to distribute profits.One of the key benefits of a C Corporation is the flat federal tax rate, which can be very attractive if you and your partners are in high personal tax brackets — especially if you’re planning to reinvest profits back into the business rather than distribute them immediately.That said, a C Corp also comes with its own downsides, like potential double taxation if you’re taking dividends.

Hi @Zaid Akrem, You’d usually return his initial investment as a capital repayment, that part isn’t taxable.

One advantage of using a HELOC is that, from a tax perspective, the funds you draw aren’t considered taxable income — it’s technically borrowed money.

My background is IT for Federal Government enterprise systems.

One of the biggest advantages for the seller is being able to customized the intake of taxable income.