Question:  I intend to buy a commercial real estate property.  Should I form a corporation to own the real estate?

Answer:  No. Nope. Absolutely not.  No way. Negative. Are you kidding? Ix nay.  Uh-uh.  Nah. Not on your life.  No way.  No way José.  Ixnay.  I hope you don’t misunderstand my position.

An article in Forbes called “Why You Should Never Hold Real Estate In A Corporation” states:

“Take, for example, the client who contemplates the type of entity that should be used to hold a piece of real estate. For most tax practitioners, this would elicit the following Pavolovian reaction:  ‘You should NEVER put real estate inside a corporation.’  And while there are very few NEVERS in the tax world, this one is pretty darn accurate.”

See also “The Perils of Holding Real Estate in a Corporation,” which discusses the federal income tax reasons it is a bad idea for a corporation to own real estate.