Maximize Real Estate Deductions with a Long Island CPA Before 2025 Tax Changes Hit

If you’re a real estate investor, landlord, or property-focused entrepreneur, here’s the uncomfortable truth: the tax breaks you’re relying on may disappear — or drastically shrink — in 2025. Many real estate professionals across Long Island are unaware of just how much they’re leaving on the table each year. Worse, most won’t realize it until the deductions are gone.

With sweeping tax law changes expected next year, now is the time to scrutinize your finances. Working with a real estate CPA on Long Island can mean the difference between a hefty refund and a surprise IRS bill.

The 2025 Tax Law Landscape: Why It Matters to Property Owners

The real estate industry has long benefited from investor-friendly tax codes. But many of those benefits — especially those tied to the 2017 Tax Cuts and Jobs Act — are set to sunset in 2025. Here’s what you need to know:

• Bonus depreciation is phasing out. The ability to deduct 60% of eligible property improvements will drop even further in 2025, unless Congress acts.

• 199A deductions for pass-through entities may expire. Many real estate investors currently save thousands using this.

• IRS scrutiny is increasing. Audits targeting high-income real estate filers are ramping up under expanded enforcement initiatives.

In short, if your current tax plan was built before 2020, it’s likely outdated — and it could cost you in 2025 and beyond.

Top Deductions Real Estate Investors Often Miss

Let’s be blunt: even well-meaning tax preparers frequently overlook nuanced deductions in real estate returns. A specialized CPA for real estate in Nassau or Suffolk County understands the local landscape — and the loopholes that matter. Below are some commonly missed deductions you may qualify for:

✅ Cost Segregation

Accelerate depreciation by breaking down your property into components (plumbing, HVAC, flooring) and depreciating them over shorter lifespans.

✅ Repairs vs. Capital Improvements

Many CPAs incorrectly classify all improvements as capital expenditures. A savvy Long Island CPA firm can help you classify qualifying items as deductible repairs.

✅ Passive Activity Losses

Losses from one rental can offset gains from another, but only if filed correctly.

✅ Real Estate Professional Status (REPS)

High-income landlords often miss out on major deductions by failing to qualify for REPS — or misreporting it altogether.

✅ Mileage and Travel

Yes, local mileage for property visits and trips to your CPA office near you can be deductible.

Real Estate Deductions at Risk in 2025

Are You Structured Correctly? LLCs, S Corps, and Tax Exposure

Your entity structure isn’t just a legal formality — it has real tax consequences.

Many small-scale landlords operate under sole proprietorships without understanding how this limits deductions and increases audit risk. A CPA for small businesses near me can guide you through questions like:

• Should I move my property into an LLC?

• Does electing S-Corp status make sense for my management company?

• Am I separating operations from ownership for asset protection?

The wrong structure can cost you thousands in missed depreciation, self-employment tax, and disallowed write-offs.

Depreciation: Your Most Powerful — and Dangerous — Tool

Depreciation allows you to deduct the declining value of your property over time. But the catch? When you sell, the IRS often claws back that benefit via depreciation recapture.

A qualified CPA in Suffolk County can help you:

• Track depreciation schedules accurately

• Time improvements to maximize write-offs

• Create an exit strategy that minimizes capital gains exposure

The Hidden Risk of DIY Real Estate Tax Filing in 2025

The rise of do-it-yourself tax software has created a dangerous illusion for many real estate investors: that filing your taxes is just about inputting numbers into a template. But real estate taxation isn’t simple — and the IRS knows it.

In 2025, as enforcement tightens and the tax code becomes less investor-friendly, the margin for error shrinks. And those who rely on generic tools or seasonal tax offices are putting themselves at real risk.

Here’s what you could be missing by skipping a Long Island CPA firm:

❌ Improper Reporting of Passive Income

If you have multiple rental properties or participate in short-term rentals, misclassifying income can trigger audits or disallowed losses.

❌ Missed 1031 Exchange Opportunities

If you sold a property this year and didn’t consult a CPA in Nassau County about deferral strategies, you might face unnecessary capital gains tax.

❌ Failure to Track Basis Adjustments

Improvements, depreciation, and prior year losses all affect your basis — and your future tax bill. Many investors don’t track this properly, especially when using DIY tools.

❌ Lack of State-Level Planning

New York State tax law isn’t a mirror of federal code. Filing errors related to mortgage interest, property tax limits, or even rental licensing can cause state-level penalties.

❌ No Audit Protection

Generic tax software doesn’t come with a professional to represent you if you’re audited. But working with a trusted CPA on Long Island like Sundack means you’ve got a licensed expert in your corner.

The Real Cost Isn’t the Tax Prep — It’s the Missed Opportunity

Think about this: if your current accountant or tax preparer only shows up in March, they’re not helping you plan — they’re simply documenting history.

Every real estate decision you make throughout the year — a renovation, a refinance, a new lease, or a sale — has tax consequences. Only a year-round advisor like Sundack CPA can spot those moments and convert them into long-term savings.

Smart investors don’t just track their income — they track their exposure.

Why You Need a Specialty Real Estate CPA on Long Island — Not Just Any Accountant

There’s a difference between hiring someone who can file your taxes… and hiring someone who can optimize them.

Here’s why partnering with a trusted CPA on Long Island like Sundack CPA gives you an edge:

🎯 Local Tax Knowledge

From school district surcharges to town-specific filing rules, a local CPA understands what national firms miss.

📆 Year-Round Planning

Sundack CPA works with clients proactively — not just during tax season. That means you’re getting strategic advice before decisions are locked in.

🏢 Real Estate Specialization

Our team serves a wide client base of property owners, developers, flippers, and real estate agents across Nassau and Suffolk County.

🤝 Face-to-Face Support

“Looking for a CPA office near me?” Sundack CPA has a physical presence in Long Island, so you’re not stuck emailing spreadsheets to someone across the country.

Local CPA vs National Chain

Serving Real Estate Segments Across Long Island

Sundack CPA doesn’t just work with landlords. We actively support:

• Residential and commercial rental property owners

• House flippers and BRRRR investors

• Short-term rental hosts (Airbnb, VRBO)

• Real estate agents with commission income

• Real estate LLCs and S-corps

• Property management firms

• Developers navigating capital-intensive projects

Whether you’re looking for a CPA in Nassau County or a specialist in business tax services in Long Island, our team delivers customized solutions for every segment of the real estate market.

The 2025 Reality Check: Are You Ready?

A new tax era is approaching. If you’re treating your taxes like an annual chore instead of a wealth-building tool, you’re already behind.

Here’s what we’re seeing on the ground in 2025:

• The IRS is flagging more Schedule E returns for audit

• Investors with outdated depreciation schedules are triggering red flags

• Taxpayers who fail to file quarterly estimates are getting penalized

And still — many continue to rely on generic online tax software or unqualified preparers who barely understand the difference between a rehab and a repair.

How to Get Ahead Before the Tax Law Shifts

✅ Step 1: Run a Full Tax Diagnostics

Sundack CPA offers complimentary diagnostic reviews of your most recent return. We’ll look for missed deductions, risky classifications, and poor structuring.

✅ Step 2: Reassess Your Entity and Asset Strategy

Are your assets exposed? Are you minimizing tax without overcomplicating your books?

✅ Step 3: Build a 3-Year Tax Plan

Waiting until March is too late. Our team will help map out your strategy for 2025, 2026, and 2027 — with scenario planning for capital gains, 1031 exchanges, and cost segregation.

Need a Real Estate CPA in Long Island? Let’s Talk

If you’re searching for a “real estate CPA Long Island”, chances are you already know your finances need a deeper strategy. Sundack CPA provides exactly that — without jargon, generic advice, or cookie-cutter templates.

✅ Real estate-savvy
✅ Locally based
✅ Tax-season ready and year-round focused

Schedule a Free Consultation Today

Don’t wait until January — by then, you’ve already lost months of planning opportunity. Book your session now with a CPA for real estate near you and get clarity before tax changes take away your best deductions.

📍 Serving property owners across Nassau County, Suffolk County, Queens, Bronx, Brooklyn, Staten Island, Manhattan, and even nationally!

Why It Pays to Act Now

• Key deductions are set to expire or shrink in 2025

• Real estate tax rules are getting more complex and riskier

• Most CPAs don’t specialize in real estate strategy

• Sundack CPA offers proactive planning, audit defense, and local expertise

Maximize your deductions, protect your portfolio, and stay ahead of tax law changes. Schedule your consultation today with Sundack CPA — the Long Island CPA firm real estate pros trust.