Hi! I just want to make sure I am 100% understanding when you need to have material participation and when you don't to take advantage of the 100% depreciation of qualified improvements to your STR property: 1. If you have W-2/1099 income and you want to write off your loses against your W-2/1099 income, you need to have material participation. (Reason: Because the W-2/1099 is active income and the STR real estate is passive unless you have material participation to make it active) Is that Correct? 2.If you don't have a W-2 and you only invest in real estate, you can take advantage of the 100% depreciation for qualified improvements for a property against your passive investment earnings. No material participation is required. (Reason: All of the income would be considered passive) Is that Correct? 3.I read that you qualify for material participation if you took part in the business for five of the previous 10 taxable years. No specific hours required. (https://www.reihub.net/resources/short-term-rental-tax-loophole/). Is that Correct? 4. If you don't meet the material participation requirement you can still take advantage of the 100% depreciation against any passive income. If the depreciation is more than your passive income, it will carry over to the next year. Is that Correct? Thank you!!

Hello everyone! I hope you all had a fabulous 2025 and have a safe and joyful time bringing in the New Year! I am going to start working a 1099 contract position that is going to require a lot of driving. I currently do not have a vehicle and will be buying one soon. 1. Since the vehicle will be be used mostly for work, with the Big Beautiful Bill, will I be able to take 100% depreciation for the total cost of the vehicle in year one, or what can l write off from the purchase in 2026? For Example, if the vehicle cost 40K, can I write off 40K or just the depreciation, gas, maintenance, etc? 2. Is my MAGI income for the Affordable Care Act after all business expenses are deducted (including insurance premiums)? 3. As a self employed/1099 person over 50 , what is the maximum amount l can put in an IRA to help offset my income calculated for MAGI for the ACA?

I am starting a 1099 opportunity. I will be using a vehicle to drive a lot of miles for this role. I am wondering for tax purpose if it is smarter to lease a vehicle or to purchase a vehicle? Either way, would it benefit me to purchase a vehicle that is made in the United States?

If I already own an STR and I install artificial turf with a putting green and a sport court, total cost around 40K, can I do a bonus depreciation for the improvements? If so, do I still have to prove materially participate in its operation and what would the requirement to meet the material participation rule?

My hubby and I renovated our detached garage and we now have a backyard carriage house Airbnb! One successful Airbnb booking so far since the remodel was completed this summer. Hoping to learn more about how we can save on our taxes :)