Are you tired of overpaying income taxes and missing out on potential savings and wealth-building opportunities?
We have exciting news for you!
Our team at Palma Financial recently helped a referral from Glenn, a successful real estate investor, explore the Zero-Tax Process for investing in rental properties.
Through this process, you can take advantage of the potential tax savings and wealth-building opportunities with real estate investing.
Real estate investing can come with many benefits, including the potential for tax savings through Real Estate Professional (REP) status and building wealth through property investments.
REP status allows you to take paper losses on all of the real estate you participate in and net these losses against your business profit or W2 wages; this can lead to a potential for zero income tax as long as you continue to invest in more real estate.
The Process to Zero Tax:
- Invest in real property
- Create paper loss by depreciating property
- Activate REP status to allow the paper loss to net against business/W2 income
- Achieve tax savings
- Use extra cash in the bank for the next property to invest
- Repeat the Process
Please note that you do not have to be a licensed realtor or broker to take advantage of this tax strategy.
We understand that not everyone can take advantage of this exact strategy, but there are other options for those not primarily in a real estate role that can help reduce taxes and build wealth.
We are eager to help you implement this strategy and achieve your financial goals.
P.S. Before filing your 2022 tax return, getting a second opinion is always a good idea. If you respond to this email, we will provide you with a review and estimate of how much you can save for the 2022 tax year. Don’t wait, and take action now.