Re Investor
“I want to use a self-directed IRA to purchase commercial real estate, what are the prohibited transaction rules that could trigger a massive tax penalty?”
Self-directed IRAs used for commercial real estate often raise careful questions about who can benefit from the property, how the purchase is structured, and whether any related parties are involved. The prohibited transaction rules can be especially sensitive when the IRA owner, certain family members, or businesses they control have direct or indirect involvement with the asset, financing, management, or use of the property. The exact risk usually depends on the title arrangement, cash flow handling, and any personal benefit connected to the investment, so the facts of the transaction matter a great deal. A targeted review with a CPA can turn the uncertainty into a clear next step.
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 flipped a severely distressed house in less than a year, will my massive profits be taxed as ordinary income or short-term capital gains?”
“I am selling a highly profitable rental property and want to use a 1031 exchange, exactly how long do I have to officially identify a replacement property?”
“I own multiple rental properties that generate massive passive losses, can I use those losses to offset my W-2 salary if I qualify as a real estate professional?”
“I successfully refinanced my investment property and pulled out cash to buy another one, is that massive cash out legally considered taxable income?”
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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