My CPA freaked me out today.
I started REI back in the fall of 09 with rehabbing a HUD and I am closing on it this April. I have also purchased another HUD and have up for sale/rent.
As I was telling my CPA my plans to flip at least 3-5 houses a year, he said there could be some major tax implications there and I could be looking at paying 25-40% taxes on the houses.
How do you rehabbers do your taxes to avoid this astronomical tax bracket?