What entity type to invest in real estate depends on the type of transaction you are engaging in. The two most likely candidates are S Corporationsand Limited Liability Companies.
Speaking on the federal level, the S Corporation has some major advantages over the C Corporation or Corporation, as we will refer to it from now on throughout this section. A C Corporation is taxed as a Corporation and any salaries paid out to the shareholders are taxed as income on your personal tax return.
This is called double taxation, and really spells [Read more…]