I am sure others in the same situation as me and want confirmation that we do NOT have to pay SE tax.
- we own a vacation rental unit / condo and it is in a LLC with 2 members. it is in Florida and we live in California
-we rent it out most of the year , usually for 7 days or less
-we host it via Airbnb and manage the bookings ourselves remotely and pay a cleaner after each guest leaves
-we may occasionally have a year where there is a NET loss and therefore want to be able to take that loss against our 'earned income' on our individual tax returns
Q : should we say we that are ACTIVE GENERAL (not passive) partners in the LLC and that we materially participate in the management ?
Q: do we risk being asked to pay Self Employment Tax ?
Q: for any year that is a net loss on the Airbnb, can we deduct that against our earned income on our individual returns ?
@taxmodern
