Realized 1031 Blog

Do I Have to Itemize to Deduct Property Taxes?

As a real estate investor, you may be looking to maximize income and minimize taxes. Those are desirable goals, and there are strategies you can use to help work toward them. Having expert professional financial and tax advice is a good way to ensure that you are taking advantage of all the potential opportunities available to you. One possible benefit of investing in real estate is that the deduction can sometimes lower other income in addition to the revenue from the real estate investment.

Posted by Clay Schmidt on Dec 3, 2021

Is Real Estate Tax the Same as Property Tax?

While real estate tax and property tax may sound like the same things, there are some distinctions. At a high level, real estate taxes are a group of various types of taxes imposed on real estate. Property tax happens to be one of those types. Let’s look at the various taxes that compose real estate taxes.

Posted by Justin Ross on Dec 2, 2021

What Is Deferred Tax Liability?

One of the most important aspects of investing or business ownership is found in understanding the Federal Tax Code. Failure to understand that federal law could put you in a position to face hefty fines and potentially serve federal prison time. While the federal government always expects you to pay your taxes, it’s also important that you understand the legal delays that are provided within the Federal Tax Code. One such example is found in deferred tax liabilities. These legal delays provide investors and business owners with a temporary reprieve on paying federal income taxes on certain earnings.

Posted by Robert Cobean on Nov 30, 2021

How Do I Know If I Have Tax Liabilities?

One aspect of being an investor is operating within the framework of the law. Obviously, you want to make investments that provide a positive return on your initial investment, but how you manage those returns may be even more important. The Federal Tax Code, while it does provide some tax breaks and deferral options, is clear about one thing: when you owe the federal government taxes, they want their money. Understanding how to determine when and if you owe taxes and the consequences of not doing so is one aspect of becoming an informed investor in any industry.

Posted by Justin Ross on Nov 28, 2021

Is Property Tax Direct or Indirect?

There are many costs involved when it comes to owning real property. Before stepping in as a real estate owner, it’s a good idea to understand what those costs are.

Posted by Jacob Adams on Nov 27, 2021

How Can I Reduce Tax Liabilities?

There are many strategies you can use to reduce your tax liabilities, which is the money you’ll have to pay to the Internal Revenue Service each tax year.

Posted by Robert Cobean on Nov 26, 2021

What Is After-Tax Cash Flow and How Do You Calculate It?

Real estate investing provides a number of tax advantages for investors. This is because not all expenses impact a real estate investment’s cash flow. An investor can show a loss on their investment but still have positive cash flow. That is the difference between pre-tax and after-tax cash flow. Let’s see how it works.

Posted by Brett Kimbro on Nov 23, 2021

How Do You Calculate Tax Liability?

The U.S. tax code can be a challenge when calculating your tax liability. It is time-consuming and tedious. For example, if you fall into the 22% tax bracket, that doesn’t mean that your entire income will be taxed at 22%. This is because the tax system is progressive.

Posted by Jacob Adams on Nov 18, 2021

What Is Estate Tax?

According to the Internal Revenue Service, the Estate Tax is “a tax on your right to transfer property at your death. It consists of an accounting of everything you own or have certain interests in at the date of death.” The property includes cash, securities, real estate, trusts, business interests, and “other assets.”

Posted by Robert Cobean on Nov 17, 2021

How Does Depreciation Help with Taxes?

As an investor, you probably already understand that taxes are a part of life. And, if you are an investor with a knowledgeable tax-planning expert on your side, you’ve probably figured out how to reduce or defer some of those taxes. One such way to do this is through depreciation.

Posted by Clay Schmidt on Nov 16, 2021

Tax