A tax credit is money that the government refunds you when you pay your taxes. Recent tax credits were enacted by the Obama administration in 2009 as an incentive for people to buy homes. Some tax credits come and go. You usually shouldn’t plan on a large investment solely due to an incentive given by the government. The incentive or tax credit might help, but you should still make sure that all of the other elements of your investment strategy work and are right for your long term planning.
What are the property tax implications of dissolving an LLC? How will taxes be affected if this reader dissolves the LLC the rental property is held in? What Are the Property Tax Implications of Dissolving an LLC Q: I own a rental property that I put into a limited liability company (LLC). Now, I’m planning [...]
What are the tax implications of joint property ownership? This reader is on their mother’s home title and wants to know how their taxes will be affected. Q: When my mother purchased her home 10 years ago she put me on the title with her. I do not live in the home. She did this [...]