Short Term RENTAL PROPERTIES
With the tourist boom in Western North Carolina including Asheville, Hendersonville and Brevard many people are renting out rooms, houses and apartments on short term rental sites like Air B&B and Craigslist. You may not know that there are important tax implications related to this practice.
If you do this, you may have to pay federal and state income tax on your rental income. Rental services like Airbnb ordinarily report to the IRS the rental payments they send to their hosts each year by filing IRS Form 1099-MISC. So the IRS will know you have such rental income and expect it to appear on your tax return.
Unfortunately, it’s up to you to understand and follow the tax rules because room and home rental services won’t do it for you. That's where we come in. GMG CPAs understand what is required and can guide you through the process so that there are no surprises come tax time.
LONG TERM RENTAL PROPERTIES
Rental properties can be a great investment. There are many options including single family homes, multifamily buildings and commercial real estate opportunities. Individuals homeowners may wish to add an income unit or you may have a commercial property with great potential. The way your financing is handle can dramatically effect the outcome of a venture. The professional CPAs at GMG will help you look at important factors including income and property tax optimization, management of your cash flow, the structure of your entity and the equity held. GMG takes the time to understand your goals and provides knowledge to guide you through the process.