Nice! Well explained! Thanks!

What a huge help! I have looked all over for this info. Great visual with the 3 colors! THANKS!!!

@eataxresolutions

5 жыл бұрын

Your welcome! Glad I could help.

appreciate the video walkthrough and explanation. Thank you.

This is technically what you should do, but in reality it's more detailed than most tax preparers actually get into when they calculate the basis. There's also a debate over whether you're supposed to actually only use a proportion of the closing costs based on the portion of the loan that pays for the building vs. the land. There is a wide difference between what you might arguably be supposed to do, and what EAs and CPAs really do in reality when it comes to this level of tax prep.

This is very helpful. I had not seen this explained before.

Can you deduct the down payment you put down on a rental 🏡?

Thank-you for the video. For my rental, I paid $300 appraisal fee required by my lender separately before closing, 200 inspection before closing and the lender prepaid $500 for hazard insurance for 12months. Do I added everything to my basis or should I capitalize them over the life of the loan?

I would have liked more explanation. For instance, why are items paid for by the seller and expense (lines 108-110) while items paid for by the borrower are added to the basis? I listened to it several times and didn't understand.

Rental properties are lyfe dawg