Selling your home, but not sure about your real estate taxes?
Selling your home, but not sure how such a move is going to affect your taxes?
Married couples, selling their primary residence (the house you have owned and lived in for two of the last five years), can profit up to $500,000 without having to pay income tax; whereas singles can profit $250,000.
Gains beyond the above would be taxable at the rate for long-term capital gains, roughly 5 - 15 percent.
If your profits are going to be more than the limits noted above, there are additional criteria that can be considered to reduce your tax liability, for example, home improvement expenses can be taken into consideration.
Need a Los Angeles Real Estate Agent?
Married couples, selling their primary residence (the house you have owned and lived in for two of the last five years), can profit up to $500,000 without having to pay income tax; whereas singles can profit $250,000.
Gains beyond the above would be taxable at the rate for long-term capital gains, roughly 5 - 15 percent.
If your profits are going to be more than the limits noted above, there are additional criteria that can be considered to reduce your tax liability, for example, home improvement expenses can be taken into consideration.
Need a Los Angeles Real Estate Agent?
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