Fafsa LLC tax return, mortgage interest under personal SS# I would love to get some guidance . I have been working with a Free Application for Federal Student Aid (FAFSA) expert that does not know about tax.
He told me to minimize my EFC (expected family contribution for my sons financial college application ) I need to get 3 rental properties off my schedule E (1040) personal return
Here is the issue I am having at the moment
He recommends getting our 3 investment properties into an LLC
OK we created in LLC and got the deeds into the new LLC
We plan to file a corp tax return for this LLC (that has an EIN number) and have all income and expenses run thru this LLC
Our mortgages with these properties are under my name and my wife's under our Soc Sec #s.
The mortgage companies will not let us have these loans under the LLC unless they are refinanced ( I am sure we can not do this and costly)
Are there any issues that you can see?
One of my concerns is that the interest paid is under our SS#s and when we file a corp tax return that is under an EIN number
Is this allowed?
How do I do this?
What do you recommend?
Thanks |