jldismukes
Level 1
12-07-2019
12:54 AM
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was reported as one unit in sch E last year.
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itonewbie
Level 15
12-07-2019
12:54 AM
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I'd report both on one Sch E so long as your client treats and does manage these as one single enterprise even though management of one unit is outsourced.
For purposes of QBI safe harbor, activities conducted by the owner, employees, agents, and independent contracts are all counted towards the 250-hour requirement. It wouldn't matter if one unit is managed by a property management company but all the other requirements for safe harbor must still be met.
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TaxMonkey
Level 8
12-07-2019
12:54 AM
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Hard to imagine a scenario where one would qualify and the other would not, unless you are deliberately trying to set that up because one has losses that you wish to exclude?
