Ask Your Tax Advisor These Questions with Catrina M. Craft, Ep. 760

Catrina Craft is a CPA, tax strategist, and real estate investor with over 20 years of experience in applying the tax code to maximize wealth for investors and entrepreneurs. As the founder of Craft CFO Advisory Services, she supports real estate professionals, creative agencies, and business owners with proactive planning to reduce tax obligations and build long-term wealth. A frequent speaker and educator, Catrina brings a unique blend of compliance, strategy, and investment knowledge—helping her clients go beyond tax preparation and into true financial empowerment.

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Make sure to download our free guide, 7 Questions Every Passive Investor Should Ask, here.

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Key Takeaways

• Start tax planning early—waiting until tax season puts you in reactive mode

• Don’t structure appreciating assets in a C corp—it can lead to unnecessary tax penalties

• Asset protection is more than just forming an LLC; structure and exposure matter

• A tax strategist is proactive—meeting regularly and guiding decisions throughout the year

• The IRS rewards those who build and invest—use the code to your advantage

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Topics

1. From Debt to Wealth Building

• Catrina lost 80% of her income when a major client left and found herself $100K in debt

• This challenge drove her to learn real estate investing and the tax strategies behind wealth building

• Paid off her debt in 2 years while building a rental portfolio

2. The CPA vs. Tax Strategist

• CPAs focus on compliance and reporting what already happened

• Tax strategists plan proactively to reduce your tax bill before decisions are made

• Working with a strategist who knows your industry—especially real estate—is critical

3. Avoiding Common Structure Mistakes

• Many investors set up LLCs without understanding tax treatment options

• Holding real estate in a C corp is a costly and often irreversible mistake

• Asset protection includes entity structure, insurance, and understanding exposure risk

4. Planning Beats Panic

• Most deductions and deferrals (like cost segregation and 1031s) require advance planning

• Catrina meets monthly or quarterly with clients to stay ahead of key decisions

• Tax planning should start at the beginning of the year—not at filing time

5. Questions to Vet a Tax Professional

• Ask about their industry experience and how often they meet with clients

• Determine whether they offer strategy or just compliance services

• Ensure they understand your specific investing model (e.g. syndication vs. flipping)

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📢 Announcement: Learn about our Apartment Investing Mastermind here.

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Round of Insights

Failure that set Catrina up for success: Losing 80% of her income and going into debt forced her to learn real estate and rebuild—leading to lasting financial independence.

Digital or mobile resource: MileIQ — tracks mileage automatically for real estate and business-related driving.

Book recommendation: Tax-Free Wealth by Tom Wheelwright — foundational insights on using the tax code to your advantage.

Daily habit: Morning gratitude, sunlight, a walk, and 30 minutes of educational podcast listening to stay clear and motivated.

#1 insight for the best tax strategy: Hire a tax strategist—not just a tax preparer.

Favorite restaurant in Dallas, TX: Houston’s or Hillside.

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Next Steps

• Access Catrina’s free tax planning resources.

• Connect with her through her LinkedIn Page.

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