REAL ESTATE
Comprehensive Real Estate Tax Consultants
With over five decades of real estate tax accounting experience, Intax.ai has established itself as a leader in the real estate markets for tax preparation. The diverse expertise of Intax.ai enables our firm to specialize in this industry at a micro-level. By focusing on tax structuring for investors, real estate agents, brokers, developers, and property managers, Intax.ai addresses the unique needs of each sector to ensure maximum tax efficiency
Optimizing Real Estate Tax Benefits for Investors
We can assist in structuring tax-efficient entities for various real estate activities, developing a tax planning strategy that legally maximizes your earnings, and preparing your annual tax returns.
Owning real estate offers numerous tax advantages, especially for investors seeking long-term stability and growth potential. Our tax professionals can help with a variety of tax-related real estate situations, including:
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Depreciation refers to the gradual reduction in value of an asset over time. It represents a 'paper loss': you don't incur an actual cash expense, but you're still eligible for a deduction for this cost. This deduction can offset your taxable income and help lower your tax bill.
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Installment sales, also known as seller financing or a seller carry-back mortgage, are a strategy for reducing taxes on real estate sales. This option is available only to property investors (not house flippers) and allows investors to defer capital gains tax. However, it’s important to note that the total amount of accumulated depreciation must be recaptured at the time of sale.
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Installment sales, also referred to as seller financing or a seller carry-back mortgage, are a tax-reducing strategy for real estate transactions. This option is exclusive to property investors (not house flippers) and allows them to defer capital gains tax. However, it’s essential to remember that all accumulated depreciation must be recaptured at the time of sale.
- Live-In Flip: A handy method of avoiding capital gains tax is to use a strategy called the “Live-In Flip.” Buy and immediately move into a property as your principal residence; as long as you live in the home for two out of the next five years, you can personally earn an annual tax-free profit of up to $250,000 as an individual or $500,000 as a couple.
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