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231. The Inside Scoop: A General & Limited Partner's Guide to Syndication & Fund Taxes

Tax Smart Real Estate Investors Podcast

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How to Structure Compensation and Fees

There's really two ways that any sort of these sort of compensation or fees can be structured. The first is just ordinary fees and the other would be a promote or a carried interest, sometimes known as a profit interest. And depending on the structure, that could either be paid directly through cash or it could just be a deemed payment,. We'll get into that a little bit here with some of the things that we're going to be discussing. But generally speaking, let's say I'm going to use the example of an acquisition. If I was to close on a large multifamily property for $10 million, and we'll just assume that there's no debt., those are typically taxed as

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