Activity
Mon
Wed
Fri
Sun
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan
Feb
Mar
Apr
May
What is this?
Less
More

Memberships

Actual Tax Law

12.2k members • Free

🏠 Lower Taxes w/ Ryan

1.4k members • $1/year

17 contributions to 🏠 Lower Taxes w/ Ryan
Virtual Mailbox Setup
Any recommendations / strategies to setting up a virtual mailbox that will allow multiple businesses to use the same address? In looking into it, sounds like I need to provide my name and fill out a form for USPS to allow setup / mail handling...doesn't that defeat the purpose of the WY holding company and anonymity? Kinda confused by that one... If you are doing this, are you choosing a location in your home state, or one in a nearby state, or other? I'm seeing iPostal1 or Anytime Mailbox as the best options.
1 like • 5d
I use Anytime Mailbox and it's been great. There are other options that are probably good as well. About the form, that's just for USPS purposes and I'm not a lawyer, but I don't think it creates any concerns for your liability protection. I don't think anonymity is a typical concern for most people, but as far as I know, it's not an issue for that either.
Taxation is theft!
After years of research I honestly beleive that most people ate exempt from taxes but we pay them voluntarily out of fear of prosecution.so the next best thing to do is take every advantage the tax code gives and Ryan is one of the few I trust to do that.
1 like • 5d
No, most people aren't exempt from taxes. And taxation isn't theft. We live in democracy where the majority of people prefer to live in a society where we have voted to require ourselves to pay taxes because the majority of us want schools, roads, national defense, and even support for seniors and free school lunches so kids at least don't go hungry. It's not a perfect system. There is plenty of waste, and we all have different ideas about who should pay more or less in taxes and how the money should be spent. But is taxation in general theft? No, it's what the society you are apart of has chosen because most of us prefer this to the alternative options.
Cleaner pymt question
Hi there... does anyone have a cleaner that only takes Venmo? If so, do you make payment as "goods and service"?
0 likes • 15d
Yeah, you basically have the option to either market as "goods and services", or send the 1099-NEC (if you pay them over $600, or now $2000 starting in 2026). Personally, I don't check the box for goods and services so they get the full amount, and I send the 1099 (it costs something like $1 or so with TaxBandits).
2024 Books messed up 2025 Books
I'll try to be as brief as possible. In 2024 I had 1 STR, and in 2025 I acquired my 2nd. My bookkeeper royally screwed up the books in 2024 mainly by putting almost all of my launch expenses into assets as opposed to expensing them. My 2024 taxes were filed with incorrect books and my refund has been withheld this entire time. I caught this mistake in 2025 and have since corrected almost all of the expenses, but the balance sheet is extremely messy and confusing to me. Currently using Incite Tax (NEVER EVER use them), but have signed up for Tax 365. I please need advice on two fronts: 1) I'm worried 2024 books are messing up the 2025 filing. How should I go about filing 2025, should it be standalone, and then re-submit 2024 after my refund has landed, or should I fix 2024, re-submit and file 2025 based on the fixed 2024 books? 2) My existing bookkeeper wants to charge $3,000 to clean up all of 2025 despite the vast majority being corrected by me. Chart of Accounts, categorizing and classes and almost all expenses are correct, but the balance sheet confuses me. I can't keep throwing money at this problem, can anyone advise the best course forward here? Thank you,
0 likes • 16d
There can be legitimate reasons why you can't expense expenses that occur before a property is placed in service or rental. It's complicated, but by default, expenses before it's placed in service are usually added to the cost basis of the property by default. But there are exceptions, such as items that can be depreciated over a shorter class life. And there is an election you can make to expense startup costs for certain kinds of expenses (at least up to $5k, and the rest has to be amortized). I'm not a bookkeeper, but $3,000 may be reasonable depending on what all is involved and how many transactions. There's probably more work involved in what they would do than you're thinking there would be. Since you mentioned things like a chart of accounts and classes, I'm guessing this is using QuickBooks. In general, I don't recommend using QuickBooks for rental properties because it does tend to end up easily becoming a complicated mess. For accounting for rental properties, your life is so much easier if you use software designed for that. Stessa is very good, but actually Baselane is my new favorite one to use. With simpler software, there's usually no need for a bookkeeper. Bookkeeping for a rental is super simple. It's just putting expenses into categories like utilities, repairs, etc. It's just QuickBooks that makes it complicated, and then a bookkeeper is needed.
0 likes • 15d
@Xerxes Clayton I see. Something like Mint or Monarch is probably also just fine as long as they can categorize your transactions into categories that make sense for a rental, especially if they let you setup custom categories. You generally can't just deduct expenses before the property is placed in service, even if they're under $2,500. You can elect to deduct them as startup expenses (section 195 of the tax code). But that can't include property taxes or loan interest (those amounts should be added to the cost basis of the property that is depreciated). And the startup expenses can only be deducted up to $5,000, and then the rest has to be amortized over 15 years. But realistically, most tax pros don't know to do that, and most will just include the startup costs as part of the property depreciation. But if you have over $5,000 in those types of startup costs that you just deducted as an expense, that's not allowed.
Expensing real estate mastermind fees?
Hey team, I own two STRs that I actively manage. What is the best way to defensibly expense real estate mastermind fees? Are there important book keeping and entity structure considerations that affect the defensibility of the expense in the case of an audit? In my specific case, I’m looking at joining a mastermind that involves education, coaching, and hands on support analyzing real estate deals, operations, and networking opportunities. The mastermind is definitely real estate investing acquisitions and operations focussed, however it is not strictly related to the short term rental asset class. Is there any complication there with the mastermind involving expansion to a new asset class within real estate investing? My entity structure is such that each of the two MI based STRs is owned by a separate MI LLC. I also have a Wyoming holding company. ChatGPT recommended using the holding company to pay for broader real estate investing mastermind fees. A CPA friend recommended against doing that and recommended using one of the two MI LLCs that holds an STR expense the mastermind fee against. I want to make sure I’m doing it legitimately and as cleanly as possible. Thanks!
0 likes • 23d
If your LLCs are single-member LLCs and not something else like a partnership, the tax law doesn't care what LLC pays for expenses, the LLC is just a disregarded entity for tax purposes. It might make some difference on a human level if a particular IRS agent in an audit is swayed by seeing an expense on an LLC's bank account rather than your personal account. But technically it doesn't really matter. As far as deducting that as a rental expense, that type of thing can be a legitimate rental expense, yes. I was reading a tax court case a little while back where that type of expense was disallowed, but that was just because in that situation the taxpayer didn't actually have any rental properties yet. Education expenses to go into a new line of business aren't deductible as an expense, but education can be a legitimate expense for an existing business. By the way, some of these mastermind and network opportunity real estate course things are legitimate, but the vast majority of them are scams or borderline scams. I hear of so many people who wasted money on real estate education and network schemes. From the ones I hear about, it seems like the ones that cost a few hundred dollars and are mostly educational are probably legit. The ones where they have fees going up into the thousands of dollars tend to be scams, and the ones that cost tens of thousands are scams seemingly 100% of the time. (And ones that involve any kind of investment partnership with the people offering it, or if they provide the lending or sell you the properties, etc, that's a big red flag.) How they price what they are offering tends to reveal whether their focus is on providing education or making themselves rich. And if they start using heavy handed sales tactics like telling you not to not worry about the price and instead focus on how much value it can bring to you, etc., just run. In most cities, there are local real estate mastermind meetup groups that are usually completely free and really are a great resource to learn from other investors.
1-10 of 17
David Orr
3
44points to level up
@david-orr-4330
Real estate investor, and real estate tax pro at Tax Modern, specializing in tax consulting for rental property owners.

Active 18h ago
Joined Sep 27, 2025
Powered by