390. The Tax Elections You Might Already Be Stuck With (And How to Save Up to $40,000)

Some tax decisions are easy to change. Others can lock you into a strategy you may not be able to undo.

In this episode of the Tax Smart REI Podcast, Nate Sosa sits down with Hall CPA Senior Advisory Manager Justin Shore to break down tax elections that real estate investors need to understand before filing their returns.

They discuss how elections can be buried inside a tax return or even be made simply by failing to file a form or check the right box. Nate and Justin cover real estate professional status and grouping elections, opting out of bonus depreciation, installment sales, 1031 exchanges, Section 754 elections, and grouping businesses under the passive activity rules.

They also explain why timing matters, when an election can restrict future tax-planning opportunities, and why investors should understand the decisions being made on their returns rather than simply signing and filing.

If you're buying or selling real estate, claiming depreciation, qualifying as a real estate professional, or making other major tax moves, this episode highlights the questions you should be asking your tax professional before the return is filed.

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