In short, Would it be tax advantageous to buy property (hunting/rec) using profit from my LLC (retail sales company)?

Have some cash on hand in LLC and trying to minimize tax impact. Going to buy property any way

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Posted by TigerDoug

Lees Summit

Member since Mar 2017

883 posts

Posted on 11/6/21 at 9:04 am to DzNtz

Not tax advice but it sounds like the assets is primarily land which is not deductible.

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Posted by jimbeam

University of LSU

Member since Oct 2011

75703 posts

Posted on 11/6/21 at 10:10 am to DzNtz

Land is not depreciable

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Posted by footballdude

Member since Sep 2010

1128 posts

Posted on 11/6/21 at 10:40 am to DzNtz

Set up a new LLC, then buy property with new LLC.

This is more for legal protection that tax reduction.

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Posted by TigerDoug

Lees Summit

Member since Mar 2017

883 posts

Posted on 11/6/21 at 1:40 pm to jimbeam

quote:
Land is not depreciable

Hence, not deductible

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Posted by DzNtz

Member since Oct 2007

693 posts

Posted on 11/6/21 at 5:57 pm to TigerDoug

I guess I’m trying to use company money to buy personal “things” before I pull it out as income. Already maxing tax deferred accounts. I have a feeling I’m not the first to try this and will likely end up just laying the appropriate taxes

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Posted by dat yat

Chef Pass

Member since Jun 2011

5114 posts

Posted on 11/6/21 at 8:33 pm to DzNtz

You could run it as a farm (DzNtz Farm,LLC). Then buy and depreciate trucks, ATVs and other things associated with the farm. Problem is you would have to spend money legitimately starting the farm and that could be way more expensive than the tax money you save.

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