|
|
 |
| 7090 North Marks, Suite 107 Fresno, CA 93711 | | | 559-431-8334 | | | www.cpawiebe.com |
|
The tax man cometh, bearing gifts -
The perfect windstorm
LLC or LP: Finding the best
fit
Ask the Advisor - What
are short
This publication is distributed with the understanding that the author, publisher and distributor are not rendering legal, accounting or other professional advice or opinions on specific facts or matters, and, accordingly, assume no liability whatsoever in connection with its use. ©2009 REAja09 |
In the midst of all the bailout bills,
budget proposals and credit crunch measures of the past year, some
of the old standbys have gotten a facelift which can greatly benefit
real estate professionals. This article covers updates to laws
regarding leasehold and restaurant depreciation, the Section 179
expensing election, the 50% first-year bonus depreciation allowance,
net operating loss carrybacks and energy-related tax breaks.
The rising costs of energy, the falling
price of wind turbines and the lure of federal and state tax credits
are all converging into a perfect windstorm that may inspire more
building owners to make wind power part of their energy mix. This
short article discusses financial incentives, including tax benefits
that are available as a result of the Emergency Economic
Stabilization Act of 2008 (EESA) and the American Recovery and
Reinvestment Act of 2009 (ARRA).
As the deteriorating economy continues
to impact the real estate market, landlords are taking a hit.
Despite the significant drift toward a tenants' market, the
opportunity for deal-making still exists in tenant negotiations.
Three specific suggestions are described, while a sidebar offers
seven signs that a tenant is in trouble.
Limited liability companies (LLCs) and
limited partnerships (LPs) are popular business entities for real
estate investors today. By providing both tax and nontax benefits,
they achieve many investor goals. But choosing the best entity for
holding a real estate investment will be influenced by a number of
details. The pros and cons of each entity are discussed.
Short sales are a form of
preforeclosure where a home sells for less than the mortgage amount.
A homeowner facing foreclosure may benefit from a short sale because
it reflects more favorably on the owner's credit report than does a
foreclosure. When the numbers are right, banks also benefit from
short sales, because they avoid the hassle and expense of
foreclosure. A real estate investor purchasing through a short sale
wins too, because it's getting a home at a discounted price. But
getting one isn't a given; there are requirements that must be met,
and steps that investors should take to improve their success in
negotiations.