Re Investor
“I formed an LLC to hold my entire real estate portfolio, does this legal structure change how my rental income is actually taxed at the federal level?”
An LLC used to hold rental property often changes the legal and administrative setup, but the federal tax treatment of the rental income can still depend on how the entity is classified and how the activity is reported. The answer typically turns on factors such as whether the LLC is treated as disregarded, partnership, or corporation, how many owners are involved, and whether the properties are operated as a passive rental activity or part of a broader real estate business. Recordkeeping, expense allocation, and the way income flows through to the owner or owners also commonly affect the tax result. Going through your records with a CPA usually surfaces the answer in under an hour.
In your 90-minute session, the KGOB advisor handling it will:
- Read your exact situation and tell you, in plain English, what’s actually going on.
- Lay out your options and the trade-offs — no jargon, no judgment.
- Give you a clear next step you can act on, whether that’s with us or on your own.
“I successfully refinanced my investment property and pulled out cash to buy another one, is that massive cash out legally considered taxable income?”
“I regularly rent out a spare room in my house on Airbnb, how do I accurately report the income and what specific household expenses can I legally deduct?”
“I sold a rental property that I fully depreciated over the last twenty years, how exactly does depreciation recapture work and how much will it cost me?”
“I bought a duplex and live in one half while renting out the other, how do I properly split the property taxes and depreciation on my tax return?”
This page is a prompt to start a conversation, not tax or legal advice, and states no tax-law specifics as fact. A consult session does not by itself create an ongoing engagement. We do not promise specific outcomes or savings. Kohari Gonzalez Oneyear & Brown PLLC — Charlotte, NC.
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