i will be selling property and do not want to do a 1031. interested in minimizing my capital gains taxes.
any solutions?
thanks
2006-10-22 01:45:02 · 5 answers · asked by john j 1 in Business & Finance ➔ Taxes ➔ United States
Well, you have a couple of options. Firstly, if you have any other assets that would create a loss if sold, you could do that. Of course, that only works if it is a good idea commercially to sell the other assets.
If that is not an option your alternative is to look at the pile of cash you have and ask yourself "What do I want to do with this?" Once you have decided, in principle, what you want to do, speak to a CPA or Enrolled Agent and see if it can be structured in a tax-efficient way. In my experience, though, the easy way is frequently the expensive one and the difficult way is the cheap one. it really depends on what suits your personality.
My favorite saying in taxes is "Don't let the tax tail wag the commercial dog." Bear in mind that a good deal for tax purposes is not always a good deal for your bank balance in the end.
Sorry if this seems a bit woolly and non-committal. However, spending money (which is what you would have to do to get a tax break) is a very personal matter and requires advice to be given face-to-face.
Good luck with whatever you do.
2006-10-22 10:02:58 · answer #1 · answered by skip 6 · 1⤊ 0⤋
No, we opt to incourage funding to create jobs. at the same time as Ronald Reagan decreased the expenditures extra money got here into the treasury. No economic gadget has ever been inspired by technique of more advantageous taxes. shrink taxes and extra jobs will be created and a lot less human beings will want authorities concepts. Tax sales flow up and prices down.
2016-12-05 02:36:19 · answer #2 · answered by ? 4 · 0⤊ 0⤋
Take it on a contract. Compute the amount of taxes on each year if you stretch it out for 5, 10 or 15 years. You can charge interest comparable to what you would receive on savings or whatever and it is a good deal for both parties involved.
2006-10-23 03:40:21 · answer #3 · answered by acmeraven 7 · 0⤊ 0⤋
Other than having complete and accurate records and owning the property over 1 year, there really aren't any legal ways to reduce taxes on a rental property sale.
PS....Watch out for that Depreciation recapture......
2006-10-22 04:30:28 · answer #4 · answered by Wayne Z 7 · 0⤊ 0⤋
For best info go to a professional CPA or if you want to get inexpensive info go to HR Block
2006-10-22 01:50:22 · answer #5 · answered by devora k 7 · 0⤊ 0⤋