Hate Paying Tax? (This Will Help!)
Tuesday Jan 31st, 2023
Everyone hates taxes, except the Government officials – of course.
Regardless of anyone’s likeness or unlikeness – no one would dare to challenge the rule.
But what if I told you that there’s a way to legally avoid paying taxes…
…Without obstructing any law and tarnishing your image.
Would you believe me?
You better believe it…
It’s the same method used by US millionaires over the years for numerous tax benefits.
And now you can too…
All you have to do is invest in real estate and enjoy several tax benefits.
Some of the DIRECT tax benefits for investing in real estate are…
1- Tax Saving Through Depreciation.
Real estate property allows a lot of face-saving through depreciation.
It is gained by telling the tax authority that the building has depreciated over time and required repairs.
These repairs are considered as negative cash-flow and there is no tax on income going out of your pocket.
Remember, the land value does not depreciate but the building does.
2- No FICA Tax
If you are on a job or self-employed, you have to pay the social security and Medicare tax.
These tax amounts are 7.65% and 15.3% respectively. However, this tax is not applicable to rental income.
Therefore, you can save 15% on taxes if you have real estate as a source of your income.
3- You Can Avoid Tax Through Growth
According to the 1031 exchange, you can trade property for another one and get a tax exemption.
The benefit of using this exchange is that you get to keep your profits to yourself by investing them into another property.
According to some recent changes in the rules, you can now only exchange real estate, not the appliances or another thing that comes with it.
These are just a few benefits of many tax benefits…
Sade Sanni, Broker of Record.