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| Solo 401k |
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| WHAAAAAT? |
IRS Form 3115 is an Application for Change in Accounting Method. The IRS recent final regulations require every landlord owning rental property prior to 2014 to change their accounting treatment of classifying expenses for repairs or improvements. Changing the accounting treatment requires changing the accounting method, and hence we are brought to Form 3115.
The IRS has streamlined the process for acceptance. When you file Form 3115, your application will be automatically approved by the IRS. You file Form 3115 with your timely prepared tax returns for this year, at the latest being October 15, 2015.
You only need to file one 3115 for each legal entity owning property prior to 2014. If you have several properties under one legal entity, you still only need to file one Form 3115. However, if you placed properties in separate entities, each entity will need to file Form 3115 which is going to be a costly headache.
Check with your tax professional to see how the Form 3115 affects your real estate investments.
Solo 401k plan:Your Opportunity for Checkbook control of your future
