Savings

• Energy-efficient home credit (24 homes) · Juniper Hollow (24 for-sale homes)

  Per-home credit amounts come straight from the statute table. Each home needs its HERS / ENERGY STAR certificate.

  Low when every home has a dated certification and a closing statement. Missing certificates are the common failure.

• Inventory cost rules (small business exemption) · Juniper Hollow (24 for-sale homes)

  Computed from the units on hand at the start and end of the year; the tax form change number 234.

  Automatic method change: audit protection for prior years once the tax form is filed on time.

• Property tax appeal · Juniper Hollow (24 for-sale homes)

  Evidence is adequate; the missing items on the checklist would strengthen the appeal.

  An appeal can only lose the argument, not add tax; some states let the board raise the value (check the state rules).

• Cost seg study · Foothill rentals (4 unsold specs kept as rentals)

  Built from the job-cost ledger with a source for every dollar; 1 line(s) still need a classification decision.

  Detailed engineering approach from actual costs, matching the IRS audit guide's preferred method. Keep the audit binder.

• Small business exemption (screening): Foothill rentals · Foothill rentals (4 unsold specs kept as rentals)

  Screening estimate from a planning formula; no study inputs yet.

  Not filed from this number: the study sets the real figure.

• Small business exemption (screening): Sage Flats lots · Sage Flats lots (40 lots)

  Screening estimate from a planning formula; no study inputs yet.

  Not filed from this number: the study sets the real figure.

• Energy-efficient home credit (screening) · Foothill rentals (4 unsold specs kept as rentals)

  Screening estimate from a planning formula; no study inputs yet.

  Not filed from this number: the study sets the real figure.

Audit risk is a plain-language note, never a guarantee.

• ⇄energy-efficient home credit basis reduction: the credit lowers the home's basis (cost of sales for sold homes; building cost for rentals, S4)
• ⇄inventory cost rules and 460 work together: costs capitalized to homes come out of income only as homes close (or as contracts complete)
• ⇄REPS gate: without real estate professional status the extra depreciation is passive and suspended until there is passive income or a sale (the passive loss rules)
• ⇄Recapture at exit: the extra depreciation is taxed back on a sale (personal property at ordinary rates, unrecaptured building property at up to 25%) unless exchanged under 1031
• Mixed portfolio: inventory projects get 460/inventory cost rules/energy-efficient home credit treatment only; cost seg, bonus and 179 are limited to the rental, commercial and remodel projects.
• Foothill rentals (4 unsold specs kept as rentals): building cost reduced by the energy-efficient home credit before cost seg and bonus.
• Owners are not real estate professionals with material participation: rental cost seg/bonus losses are passive. Passive income (figure below) absorbs part; the rest is suspended until disposition. Cost seg on rentals is lower priority.

• passedenergy-efficient home credit sunset: homes acquired after this date earn no credit · Jun 30, 2026
  Close or lease certified homes by this date; later homes get nothing
• 67 daysNext lien date (UT) · Jan 1, 2027
  Photograph and document construction status and condition as of this date (draw inspections, CO dates)
• 324 daysthe tax form (change number 234) for 2026 · Sep 15, 2027
  Attach to the timely filed return (with extensions); send the duplicate copy to the IRS by the same date
• 324 daysProperty tax appeal deadline (UT) · Sep 15, 2027
  File the appeal with the evidence checklist

1. Sage Flats lots: lot takedown schedule and development budget not uploaded
2. Juniper Hollow: 6 closing statements still missing (Aug-Sept closings)
3. Sage Flats lots (40 lots): no study inputs yet, so only screening estimates are shown
4. 38(c) tentative minimum tax: for 2026, 2027, 2028, 2029, 2030, 2031, 2032, 2033, 2034, 2035, 2036, 2037, 2038, 2039, 2040, 2041, 2042, 2043, 2044, 2045, 2046, 2047, 2048, 2049, 2050, 2051, 2052, 2053 the credit limit takes TMT = 0 (an upper bound on credits used) because owner AMT inputs (net capital gain and qualified dividends; optional ISO bargain element, private activity bond interest, 56(a)(3) contract and other adjustments) is missing or not coded, and energy-efficient home credit is not a specified credit (38(c)(4)(B)), so AMT could cut the credit used each year: CPA review on Form 6251 / 3800 at the owner level

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