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Investors & landlords
Did I read your question correctly?
If you're a dealer, then your real properties (real estate) that you buy to flip for quick profits (hopefully) are considered inventory and the gains/profits on those transactions are considered ordinary income, not capital gains (either short or long term). Similarly, losses on sales are considered as ordinary losses, not capital losses.
If you're a single-member LLC, those transactions would wind up on Schedule C as sales of inventory.
‎December 17, 2024
7:50 AM