Part II - Putting the Professional Corp aside until your mortgage is deductible.

Hi David

How can you put your prof-corp. "on hold" without paying out the retained
earnings ?

Thx

david ingram replies:

Simply stop using it (the Corp) for the length of time it takes to make your
mortgage deductible.

Operate as John Doe or James Smith or Bob Jones, etc. When you have moved
enough money to make the mortgage deductible, resurrect the professional
corporation.

I was in a prominent professional accounting corporation the other day. The
"company" advertises professional tax consulting, etc and "all" their
clients seem to be incorporated. I asked the first two principals I met if
their own mortgages were deductible and they looked at me as if I was nuts.
"How can I make my mortgage deductible?" was their question. DUH!!!

The first thing anyone dealing with a lawyer or an accountant or a mortgage
broker is: "IS YOUR OWN MORTGAGE INTEREST TAX DEDUCTIBLE?" If their answer
is no, or they have "that" look in their eye, you need a new consultant,
accountant, lawyer, broker, etc.