Identify typical expenses that an investment property owner can deduct for income tax purposes, and contrast them with activity that must be “capitalized”

DISCUSSION:
1. Discuss how “psychic income” concerns may play a role in an investor desiring to invest in real estate (p. 195)

2. Identify typical expenses that an investment property owner can deduct for income tax purposes, and contrast them with activity that must be “capitalized” (pp. 195-196)

3. Describe the tax implications of IRC Section 483 on a seller of real estate (pp. 198-199)

4. Explain some benefits resulting from the real estate ownership in corporate form (pp. 202-204)