[Bscivolette]

My newest business is a property investment company in Florida, any tips on which type of corporation to enter to avoid as much taxes as possible (in Florida)? Im hearing the S-Corp for rental properties and the LLC for buying and holding properties. Any input?

[pentupentropy]

if you have the money to do so, separate it. You'll actually pay more taxes on one end but less once you get going. Go with a holdings company as a parent. Real estate is easy to separate stuff with because you can sell one house and dissolve a company. It's better to keep deals separate so that you can keep your properties protected.

Other than that, talk to an accountant or tax attorney.

[Bscivolette]

Interesting theory. I was thinking about opening an LLC or S-Corp (not sure which one yet). In the process of doing so, Corporations do not pay property tax in FL, receive a 5% Corporate Income Tax in FL, write of the estimated home "depreciation", and roll over my "appreciation" into a 1031 or TIC to avoid paying capital gains. Doesn't that make more sense or am I missing something? Aside from that, if I choose the LLC I have asset protection.

[pentupentropy]

there are plenty of ways to do it. The company I work for (Dynamic Education Systems, Inc/DESI) has their own holdings company which also owns it's own real estate company.

Another friend of mine does on investment at a time. He started with $930,000 out of his own pocket, and he developes land, builds a few houses and sells them. He incorporates for each new development. Any time property depreciates, you should have it as a tax write-off. If you don't, you need a new accountant.