How To Use Taxes To Fund Your Next Investment
Tax shelters are always a popular topic for property investors. Everyone loves the idea of a good write off. For property owners, tax shelters are usually realized in the form of depreciation. In layman terms, depreciation is just an acceptance by the IRS that physical property deteriorates over time and begins to ‘lose’ value. According to the IRS, commercial multi-family properties have a lifespan of about 27.5 years.
Officially, the IRS defines depreciation as “a tax deduction that allows a taxpayer to recover the cost of a property over time. It is an annual allowance for the wear and tear, deterioration, or obsolescence of …Read More