real estate


Question by  senthilkumar (299)

What is the capital gains tax in real estate?

I do not understand how the capital gains tax will effect me if I sell my home.


Answer by  Shankalot (484)

Capital gains tax is paid on the increase in value of real estate sold, as compared with the purchase price. The cost of improvements can be added before the calculation.

Reply by BoeZoe (136):
certain exemptions may apply depending on whether you purchase another property and what your length of occupancy and age are.  add a comment

Answer by  withluck (1745)

Contact your CPA, or get one, and talk with them about your specific tax obligations for the sale of your real estate. Many things can effect the amount you will pay personally. After consulting with your CPA, you can decide when would be the best time for you to sell.

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