Real estate can be an excellent long-term investment, but property owners don't have to wait decades to receive the tax benefits associated with depreciation. For certain real estate investors, a cost segregation study combined with accelerated depreciation and bonus depreciation can
How to Reduce Taxes After Selling an Investment Property
Selling a property can be a fantastic financial move. You bought an asset, watched it appreciate, and finally decided it was time to cash out. Then comes the less exciting part: the tax bill. Depending on how long you owned the property, how you used it, your original cost basis, depreciation,
537 Installment Sale Trusts for Commercial Real Estate: Strategy vs. Scrutiny
When commercial real estate property owners in the Seattle and Puget Sound area prepare for a major exit, capital gains taxes are often the biggest hurdle to preserving net proceeds. Between federal capital gains, depreciation recapture, and Washington’s local real estate excise taxes (REET), an
Understanding the Standard Deduction for 2026
The Standard Deduction is a cornerstone of the US tax system, designed to simplify the process of filing taxes and ensure that every taxpayer has a baseline amount of income that is not subject to federal income tax. For 2026, the Standard Deduction has increased to account for inflation, offering
Unincorporated Business Tax (UBT) Guide
The unincorporated business tax (UBT) remains a crucial consideration for businesses operating as sole proprietorships, partnerships, limited liability companies (LLCs) taxed as partnerships, and trusts in specific localities. This levy, imposed at the local level rather than federally, applies to
Taxpayers’ Dilemma: Selling Assets to Pay Taxes?
It is one of the most frustrating catch-22s in financial planning: you face an outstanding tax liability, decide to liquidate an appreciated asset to generate liquidity, and suddenly trigger a brand-new wave of capital gains taxes. Liquidating capital to settle tax debt requires a careful approach
Tax Law Changes You Need to Know in Seattle
Recent state and federal legislative changes introduce significant updates to Washington Business & Occupation (B&O) rates, sales tax scope, capital gains, and federal pass-through rules. 1. Increased B&O Tax Rates & Surcharges (HB 2081) 2. Retail Sales Tax Expansion to
Tax Deductions for Contributions to a Traditional IRA
Contributing to a Traditional Individual Retirement Account (IRA) allows you to build retirement savings with tax-deferred growth while potentially reducing your taxable income in the year you contribute. Because the IRA deduction is an above-the-line deduction (claimed on Form 1040, Schedule 1),