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Barbara
Barbara, Enrolled Agent
Category: Tax
Satisfied Customers: 2830
Experience:  18+ years of experience in tax preparation; 25+ years of experience as a real estate/corporate paralegal.
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I own a duplex, I'm owner occupying the primary unit and

Customer Question

I own a duplex, I'm owner occupying the primary unit and renting out the second. Which was more tax advantages, just renting the second unit out myself and have the tenant pay me directly or form an LLC and have them pay it (and pass through the income to myself).
Submitted: 10 months ago.
Category: Tax
Expert:  Barbara replied 10 months ago.

Welcome to Just Answer. My name is ***** ***** I will be happy to assist you.

Creating an LLC and putting the rental property in it would be an asset protection move. There would not be any tax advantages.

The following links contain excellent information which you will find helpful:

https://www.biggerpockets.com/renewsblog/2013/08/17/rental-properties-llc/

https://www.legalzoom.com/articles/forming-an-llc-for-real-estate-investments-pros-cons

Please let me know if you require further information or clarification. If so, please come back to me here, and I will be happy to assist you. If not, please take a moment to rate my answer since that is the only way I receive credit for answering you and alerts Just Answer to compensate for a portion of the fee you previously paid.

Thank you and best regards,

Barb

Expert:  Barbara replied 10 months ago.

Just following up with you to see if you have any other questions or concerns. If so, please come back to me here, and I will be happy to assist you.

Best regards,

Barb

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