Mitigating capital gains penalties

I am going to flip a property I rehabbed. I expect to net 40k before taxes. Combined state, fed and sales tax in California is about 41 percent. That means I'm going to take home somewhere around 25k for eight weekends and lots of late nights. That's a pretty harsh punishment for being industrious, in my opinion.

I don't want to hang on to the properties for a year or more, so I need to find a way to bury more of the expenses. If anyone else here flips for a living or a hobby, how do you keep a decent chunk of your profits? I have read some articles that suggest incorporation is the answer, but it seems to me that could make things more expensive, thereby canceling out any tax advantage. If I pay myself a salary, I could end up with a bigger tax hit because then I'm not being taxed as a plain investor.


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