What Type Of Businesses Can Operate In Opportunity Zones?
Operating a business within an opportunity zone means participating in improving the economic prosperity of a specific area. There are a few requirements that must be met before any business can qualify as an opportunity zone business. In this article, we’ll look at what those qualifications are and the types of businesses that can operate in them.
Tax Season Is Coming: Understanding Capital Gains Reporting
With the holidays and celebrations in the rear-view mirror, your attention should turn to the next big event. Not Valentine’s Day or St. Patrick’s Day, but April 15, the tax-filing date. Even as you gather paperwork and finalize profits, losses, and expenses from 2019, it’s important to pay extra attention to your asset sales. In most cases, you’ll be required to report capital gains from those sales to the IRS through three forms: 8948, 1099-B, and Schedule D.
Events That Trigger The Deferred Gain
Deferring capital gains is a topic that will always turn heads and ignite discussions. To be clear, it’s not a simple process, but it is attainable. Once you have trodden down the 1031 pathway — checking off every painstaking step to execute the exchange — how can you be certain you can hang onto those gains? No road we travel is without pitfalls. And it’s the wise traveler — or investor, in this case — who recognizes that they cannot afford any missteps.
Types Of Funds: Identified Vs. Semi-Blind
Qualified Opportunity Zone Funds (QOZFs) come in two main fundamental structures — pre-identified investments or semi-blind pools. In this article, we’ll look at both in detail and explore the advantages and disadvantages of each.
The Effects Of Taxes When Selling Investment Property
The sale of investment property is taxed differently than the sale of your primary residence. A primary residence allows you to exclude $250,000 of gains when filing single and $500,000 when married filing jointly. Investment property tax calculations aren’t so simple. In this article, we’ll break down the various investment property capital gains tax calculations and provide a few tax-saving tips.
The Key Dates Around Opportunity Zones
Knowing important Opportunity Zone (OZ) dates are a critical component of getting the most out of any OZ investment. To help you keep up with the myriad list of OZ dates, we’ve put together a list of what to keep an eye on, along with information about how recent regulations have affected the OZ environment.
How Is An UPREIT Structured?
For investors who want more options than what is provided by a 1031 exchange, a 721 exchange is a great alternative. Just like a 1031 exchange, you’ll be able to take advantage of tax deferral on gains.
The Tax Benefits of Real Estate Investing
The Land Act of 1820 was one of America’s first solutions for motivating people to buy land in “The West.” By reducing the minimum price and size of a standard tract, the government made land ownership throughout the country accessible for average Americans—not just the wealthy.
When Are The 2020 Capital Gains Taxes Released?
Finding out next year’s tax rates and brackets can help you get a jump on tax planning or make important decisions before the current year ends. In this article, we’ll look at changes in 2020 taxes and what causes our taxes to change every year.
What is Like-Kind Property in Real Estate?
After researching 1031 exchanges, you might find yourself wondering what “like-kind property” really means when it comes to real estate. It’s a vague and sometimes misunderstood term when it comes to tax deferred exchanges. The Internal Revenue Code defines like-kind properties as those that have been held for productive use in a business or trade, or as an investment. Like-kind, as used in this code section, means a property that is “similar in nature or character, regardless of differences in grade or quality.” Still not clear?
