Tax Time Insights for Latino Entrepreneurs: Mortgage & Tax Planning Made Simple

Prysma Lending Group's recent video podcast offers valuable guidance for small business owners navigating tax season while pursuing homeownership dreams. In this informative conversation, Prysma Loans’ Stephanie Pina and her assistant Giselle Jarrín address the most common questions they receive during tax season, sharing expert insights from accountant Clara Martínez of Clara Tax Services.

Watch the video to get practical advice for entrepreneurs, particularly within the Latino community, and learn about everything from  what taxes have to do with self-employed mortgage qualifications to income declaration best practices

The podcast demystifies business structures, explaining some of the differences between LLC vs corporation taxes. For single-member LLCs, income appears on Schedule C, while partnerships require both personal and business tax returns - critical knowledge when applying for mortgages. The experts address the common question of income declaration, emphasizing honest reporting while working with qualified accountants to identify legitimate deductions. This approach affects not just loan eligibility but overall business sustainability.

Viewers receive practical guidance on income requirements for homeownership, with Stephanie noting that a two-family home in Danbury averaging $600,000-$650,000 typically requires income above $120,000. The conversation highlights the importance of working with licensed accountants rather than unlicensed preparers, warning against red flags like excessive depreciation claims or dramatic year-to-year changes that might trigger scrutiny. An especially valuable insight: most lenders require a minimum two-year history with the same business entity, and changing from an LLC to a corporation resets this timeline.