Are You Paying the Right Amount of Tax on Real Estate?

I always tell my clients when they reach that threshold of $30,000 or more that it is best to incorporate and have an S Corporation to limit the self-employment tax. When you are wholesaling contracts or properties, you’re engaged in an active trade or business. So you are subject to the highest level of income tax, both ordinary income tax and self-employment. So the S Corporation is going to be the best way to go.

Watch our latest video for more information, and to find out if you are paying the right amount of tax on real estate, call (954) 888-6941 today!