In Fresno, securing a CPA with specialized knowledge in real estate taxation is a game-changer for your investment strategy. You should not pay more cash tax than you should. This expert should be current with new and previous tax laws, adept at tax planning, and skilled in optimizing cash tax related outcomes for both landlords and real estate investors.
Here are key qualifications and expertise that you should look for when hiring a Real Estate CPA:
In Maximizing Your Specific Tax Position:
- Strategizes your suspended passive losses
- Comprehends Safe Harbor rules and Partial Asset Dispositions.
- Executes tax rules for repairs versus improvements.
- Understands the accurate classification of expenses.
In Real Estate Professional Status (REPS):
- Grasps passive activity rules to properly manage your taxable income.
- Knows criteria for REPS qualification to help you minimize taxes.
- Utilizes material participation guidelines to minimize non-real estate income sources.
In Multiple Tax Structures of Real Estate Investing:
- Advices and understand your specific activities to assist you in legal entity structuring.
- Familiar with tax rules of General Partners or Limited Partners.
- Explores investing through retirement accounts for you.
- Understands tax aggregation strategy of multiple real estate activities.
Expertise in Tax Depreciation Optimization on Properties:
- Utilizes bonus depreciation for property that qualifies.
- Engages in Cost Segregation studies planning with you.
- Executes Changes in Accounting Procedures to maximize your taxable position.
- Updates on previously placed-in-service asset depreciation.
In State Tax and Depreciation Management:
- Ensures conformity with State tax depreciation.
- Navigates State gain or loss treatment.
- Manages entity or LLC State taxes paid.
- Plans State taxes for real estate activities.
- LLC or Entity level State taxes planning.
In Short-Term Rental Activities Tax Treatment:
- Strategizes short-term rental income tax strategies.
- Qualifies you and is familiar with material participation rules to maximize your tax benefit.
- Maximize tax deductibility benefits from STR real estate investments.
Performs Strategic Planning for Property Exits:
- Forecasts taxable gains.
- Advise tax deferment on gains like 1031, QOF (OZ), and others.
- Exit a real estate property investment tax-efficiently.
Make sure to check out our enclosed complimentary guide for insights on the latest real estate tax strategies.
If these key real estate tax topics have never been a conversation point with your current tax accountant or CPA, it’s probable they’re not optimizing your tax strategy. This lack of specialization can result in missed opportunities for substantial tax savings via your real estate investments. Don’t overpay in taxes!
If you are considering a new CPA and would like to take advantage of the real estate tax applications mentioned above, consider working with an experienced real estate specialized CPA.
My firm, JG CPA & Advisory, where we specialize in real estate taxes is currently accepting new clients for tax year 2023. If you would be interested in consultation or our services, complete the webform here. We will contact you shortly after submission.
Craft real estate tax strategies for the years ahead!