1. As a sole proprietor licensed real estate agent actively involved in real estate, can I open a Solo 401 K
and contribute to it income
other than earnings from real estate (such as from a pension
) up to the allowable maximum amount?
2. Can I deposit in my solo 401 k proceeds from the sale of a rental property
that I bought before I got my real estate license, up to the maximum amount allowed. Note: I was an “active participant” in managing this rental property, but it was considered a passive activity with carry-over losses from previous years in tax returns
because I did not spend more than 750 hours or more than 50% of my time involved in real estate.
3. If I do not sell the above rental property, after I get my real estate license and work actively in real estate, can I deduct the cumulative carry-over losses in my first year working as a real estate agent, or do I need to wait until I sell the property
to claim the multiyear losses.
4. If I QuitClaim a property that is held in my name to Tenants by the Entirety with my wife, won’t the transfer be considered a gift to my wife and be subject to income tax
5. After I get my my real estate license and plan to actively work in real estate. can I deduct losses from a rental property from my ordinary income
if I spend more than 750 hours managing that property in that year and spent more than half of my time involved in real estate? In the year they are incurred?
6. Do I have to pay self-employment social security tax
on my real estate earnings.