Can you rent to yourself? It's a simple question with a complicated answer.

There are several reasons why anyone would want to separate an operating business from the property in which it operates. You have a separation of legal liability, separate accounting, and the possible personal use of business property. This separation creates a sort of fiction where dollars from one pocket go into the other, but for tax purposes, not properly structuring self-rentals can cause headaches and even a knock on the door from the IRS.

In this webinar, we will discuss ways to avoid self-rental traps as we dive into topics like the passive activity loss limitation rules and the Augusta rule.

Learning Objectives:

• Evaluate section 469 passive activity rules


• Identify the self-rental exceptions to section 469


• Recognize when to group activities for sections 469 and 199A purposes


• Name updates on recent tax court cases limiting the Augusta rule