Real Estate Investing Fundamentals | CrowdStreet

Generating Tax Losses with Depreciation | CrowdStreet

Written by Ian Formigle | Mar 26, 2019 2:24:14 PM

It’s very common, especially in the early years, for real estate LLCs to have positive cash flow but generate a tax loss, often due to depreciation. Trent Baeckl, CPA, Shareholder, Perkins & Co., helps me explain what a cost segregation study is, how it impacts depreciation and why a tax depreciation plan matters when evaluating an offering.