GULF OPPORTUNITY ZONE TAX BENEFITS EXTENDED UNTIL DECEMBER 31, 2010
If you are wondering if you can still take the GO Zone 50% first year tax depreciation, the answer is YES! It was extended until December 31, 2010 but only in certain geographic areas.
These areas include 4 counties in southern Mississippi and the New Orleans area.
I have condos that have a 30 month rent guarantee with cash flow, plus duplexes and single family homes starting at $139,900.
The tax benefit works this way:
Purchase Price $200,000
Subtract land value $30,000
Structure value $170,000
50% first year depreciation is on $85,000
Multiply this by your tax bracket (I’m assuming 30%) $25,500 tax savings.
Plus you can carry this loss back 5 YEARS! I personally received a large tax refund from my GO Zone property so I know it works. You must have a CPA who understands the tax deduction. Tell yours to read publication 4492 or call me for a referral to my CPA.
Best Regards,
Janet Montano
Broker
Home and Income Realty www.buygozonerealestate.com
813-956-3563
