Real estate professional status allows landlords to deduct rental losses against their regular (W2, business, interest, dividends) income. It's a powerful tax strategy for real estate investors.

But one test to qualify as a REP is to spend more time in real estate than your day job.

So how did a boat pilot with a W-2 job qualify as a REP?

Navigating the complexities of real estate transactions involves more than just finding the right buyer or negotiating a favorable price; understanding the implications of capital gains taxes is equally important!

If there are assets you are planning on passing along to beneficiaries, hold them in your name until you are gone, so they can transfer to them in a tax-efficient manner.

A win for the taxpayer! Once they were able to prove that they did have a home-office under Section 280A rules, they were able to deduct all travel-related expenses to the property as well as count those travel hours as part of Real Estate Professional work hours.