Reducing Taxable Income Through Real Estate Investments

There are more and more people beginning to realize that they are losing way too much of their money in the way of government taxes. For those that go out every day and work a conventional job, the government rewards them by taking thirty-five percent of their earnings. In essence, the harder a person works to earn a living, the more money the government takes away from them. Unfortunately, excessive taxation hinders a citizen’s ability to achieve the American Dream.

The Best Tax Breaks

Real estate investors get some of the best possible tax breaks available legally. Conventional workers have to pay federal withholding tax, state unemployment insurance, social security tax and Medicare tax. Savvy people are making serious money while reducing taxable income through real estate investments.

Lower Your Tax Debt

As stated before, the average worker pays about thirty-five percent of their earnings in taxes. That’s a lot of money. You can eliminate all of those crazy taxes by investing in Florida rental properties. It’s true that you will need to declare and pay taxes on your rental income. These taxes can be offset by any mortgage interest paid on the properties real estate taxes, maintenance and repairs, depreciation and even any fees paid to a property management company. Oftentimes, the cost of having the rental property covers the taxes that would be due to the Internal Revenue Service. Those that are wise enough to be reducing taxable income through real estate investments are making money hand over fist. You can do this too.

Just Say NO!

You can easily stop being overtaxed by the government by investing in real estate. It doesn’t make good financial sense to be sending more than a third of your earnings to the Internal Revenue Service. Why would you be slaving at a conventional job while the government takes a huge chunk of your earnings, when you could be relaxing and keeping all of the profits from owning rental properties? The choice should be a no brainer.

Ask Your Accountant

Naturally, everybody’s finances are different. It would be smart on your part to contact a local accountant for a consultation about how reducing taxable income through real estate investments will help your bottom line. You’ll be pleasantly surprised to find out how much money you will be saving by purchasing rental properties in Florida. Preserving your wealth for your future and your family’s future is much better than forking it over to the government.

Source by Naomi K Kinaschuk

Diana McCalpin is an accountant who manages a Certified Public Accounting Practice in Laurel, Maryland which performs audit, accounting and tax services to customers. She loves to share information with clients to help them grow their businesses and be profitable.

Share this

Leave a Reply