If I receive $4000.00 for per month for rent on a commercial property and an additional $1000.00 per month for a 3 year purchase option at $500,000.00 that the option proceeds are not income until the option expires in three years or are exercised. If the option expires it would be ordinary income and LTG if exercised.
Posts Tagged ‘income’
Can someone site a specific IRS reference on the taxation of real estate option income on commercial property?
October 17th, 2011Tax implications of Investment Property Income to a minor?
February 22nd, 2010My husband and I just bought an investment property that we intend to rent. We purchased the property for a 10 year old minor with the intention of us making the monthly mortgage payments and the child receiving the monthly rental income (approx. 12K annually) to put in a savings account. Will our 10 year old have to file taxes on this income?
Have a commercial property I make payments on. Can I use the interest as tax savings on my personal income?
February 7th, 2010I have a retail commercial property. It has 3 store fronts and all three are rented out. I was wondering if I can make extra payments from my personal income toward the property’s mortgage and use the interest paid toward lowering my taxable income on my personal income?
