Material participation is the second gate in the STR loophole. A documented time log — maintained contemporaneously, not reconstructed at year-end — is what separates a defensible position from an audit loss.
The OBBBA permanently restored 100% bonus depreciation for qualified property acquired after January 19, 2025. Here’s what changed, what qualifies, and what the full math looks like for a $500,000 STR acquisition.
Most STR operators are filing Schedule C when they should be on Schedule E — and paying self-employment tax they don’t owe. The average rental period test and the SE tax question are governed by two completely different code sections.
The answer isn’t the same for every operator. Here’s how to think through the LLC vs. S-Corp decision based on your specific situation.
Most STR owners either skip bookkeeping entirely or set it up wrong. Here’s the right way to do it from the start — including a complete chart of accounts.
The 7-day rule determines whether your STR income is passive or non-passive — and that single classification changes your entire tax picture. Here’s how to get it right.