Tax Court: In Order To Convert A Home To A Rental, You Should Probably Rent It

If there’s one thing that confuses the hell out of non-tax people, it’s the concept that they can lose money on an investment — honestly and unquestionably — and yet derive no tax benefit from the loss. For example, if you bought your home for $300,000 in 2006, a mere four years later it was likely worth slightly less than a well-maintained motorcycle. Had you sold the home in 2010 for it’s then-value, you clearly suffered a real, economic loss to the tune of hundreds of thousands of dollars.

from Forbes – Business
via Abogado Aly Business Consulting

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