As a CPA and expert in accounting, Mark Sherman is here to share his insights and secrets on taxes and business. In this interview, Mark discusses various topics related to real estate, entrepreneurship, and accounting. Mark is known for his expertise in helping individuals and businesses navigate the complex world of finance, and his advice is highly sought after in the industry.
Understanding the 1031 Exchange
One of the topics discussed in the interview is the 1031 exchange. Mark explains that a 1031 exchange allows individuals to sell a property and defer the tax on the gain by reinvesting the proceeds into another property. He outlines the requirements for a 1031 exchange, such as holding the property for at least a year and a day, identifying the new property within 45 days, and closing on the new property within 180 days. Mark also mentions the use of an intermediary to handle the cash from the original sale until it is transferred to the new property.
Exploring the Reverse 1031 Exchange
Another topic discussed is the reverse 1031 exchange. Mark explains that a reverse 1031 exchange is used when there is not enough time to complete the 45-day identification period for the property being sold. In a reverse exchange, individuals can purchase the new property first and then have 45 days to sell their existing property. Mark highlights that reverse exchanges require more careful planning and may involve higher fees, but they can be a viable option for certain investors.
Maximizing Business Expenses
Mark also shares valuable insights on maximizing business expenses. He discusses the 14-day rule, which allows individuals to rent out their personal residence for up to 14 days without paying taxes on the rental income. This strategy can be beneficial for those who want to generate additional income from their property without dealing with the tax implications.
Additionally, Mark explains how business owners can deduct expenses related to their vehicles and home offices. He advises individuals to keep track of their business use of vehicles and calculate the percentage of expenses that can be deducted. Similarly, for home offices, Mark suggests using the square footage of the office space to determine the portion of mortgage interest, property taxes, utilities, and other expenses that can be deducted.
Taking Advantage of Business Tax Benefits
Throughout the interview, Mark emphasizes the numerous tax benefits that come with owning a business. He highlights the importance of understanding the difference between personal and business expenses and taking advantage of relevant deductions. Mark recommends business owners to consult with a CPA to ensure they are maximizing their tax benefits and avoiding any potential issues with the IRS.
Contacting Mark Sherman CPA
To get in touch with Mark Sherman CPA and learn more about his services, individuals can contact his office at 702-645-6318 or email the director of new client relations, Tiffany Mitchell, at [email protected]. Mark’s firm provides comprehensive tax and accounting services, and he and his team are dedicated to helping individuals and businesses achieve their financial goals.
Mark Sherman’s expertise in accounting and taxes is evident in this interview. His insights and advice provide valuable guidance for individuals interested in real estate, entrepreneurship, and business finance. By understanding the intricacies of tax laws and utilizing various strategies, individuals can optimize their financial situation and make informed decisions to achieve their goals. Mark Sherman is a trusted resource in the industry and his expertise is highly valued by those who seek his advice.