One of our clients came to us after hearing about the short term rental tax loophole.
Summary
AI-generatedThis video highlights how one of The Short Term Shop's clients leveraged the short-term rental tax loophole to write off $150,000 against their W-2 income in the year they purchased a $600,000 vacation rental property. They achieved this by materially participating in the business, having an average guest stay under 7 days, and conducting a cost segregation study to maximize bonus depreciation.
Key insights
Purchasing a $600,000 vacation rental allowed a client to write off $150,000 against their W-2 income in the same year through the short-term rental tax loophole.
Tools & resources
Amanda Han, CPAservice
A real estate-focused CPA can help conduct a cost segregation study to maximize tax benefits.
Curated by Learn STR by GoStudioM · Summary & key insights generated by AI · Reviewed by editorial