@Michael HammerI suspect they may be referring to an allocation of expenses to business use that would otherwise be nondeductible but because they’ve established a business purpose for the expense, they are taking the position that a portion of the overall expense is part business and part personal.

I want to fully understand the legality of this purposed idea as well as the experts needed to make it happen.

Need a few contractor suggestion and if anyone have similar project cost info for my budgeting purpose, that would be greatly appreciated.1) tiny house on wheel in the backyard. 

Words of wisdom from experienced veterans here is greatly appreciated.I formed a single member LLC for asset protection purposes and got an EIN number.  

right now tough for rental purposes and if your head to head with national builders no way.we can go toe to toe with them in Oregon simply becasue the name of hte game is he dirt and we are pretty good at beating them to the dirt.. but as other stated lumber has sky rocketed and you need to sell retail.I dont know how they can build new homes and sell them sub 150k..

RE is always local.We are investors and can buy from distressed sellers all asset types for value adds or re-purposing. 

Sell on purpose, not just to get to equity.

This post is for informational purposes only and for context as rules a regulations are always subject to change...and do.

But let me explain this, because this rests more in the purpose of asset protection than the appearance of each tool. 

Yes, sounds like your CPA is on the right track with prorating expenses for rental use and the personal use based on the number of days used for each purpose.