If you buy a house, do you need to pay a sales tax on top of everything else?
2006-12-26 10:22:02 · 12 answers · asked by dpkmissy 3 in Business & Finance ➔ Renting & Real Estate
No, sales tax does not apply to real estate purchases.
If you build a home you will pay sales tax on the construction materials and possibly the labor. That would probably be paid by the contractor, but would be reflected in the price.
2006-12-26 10:34:21 · answer #1 · answered by Bostonian In MO 7 · 1⤊ 1⤋
Sales Tax On Home Purchase
2016-11-11 05:29:42 · answer #2 · answered by Anonymous · 0⤊ 0⤋
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RE:
Is there a sales tax on buying real estate?
If you buy a house, do you need to pay a sales tax on top of everything else?
2015-08-05 23:52:48 · answer #3 · answered by Anonymous · 0⤊ 0⤋
There is no Sales Tax on buying real estate. The buyer needs to pay the following taxes at the time of registering the property:
• TDS or tax deduction at source on amount exceeding Rs 50 lakhs for the purchase of immovable property excluding agricultural land. The TDS must be submitted in the name of the seller.
• Stamp duty on registration
• Service Tax is applicable if the property is being purchased from the builder who conceived and constructed the project before offering possession to the buyer. If a ready-to-use property is purchased from the seller then service tax is not applicable.
• Value Added Tax (if applicable in the state)
2016-11-04 21:17:05 · answer #4 · answered by mohitpatil2151 2 · 0⤊ 0⤋
No sales tax. Only property tax, which varies by county. It is usually close to 1% a year, but it is not based on the actual value, it is usually much less.
2006-12-26 12:02:53 · answer #5 · answered by Anonymous · 0⤊ 0⤋
is there a federal sales tax when selling commercial real estate
2016-03-09 06:33:09 · answer #6 · answered by joyce 1 · 0⤊ 0⤋
you pay property tax, and usually it's prorated when you purchase property. if you bought in october, you're liable for 3 months of taxes for that year.
this cost is typically added into your closing along with any pro-rated hoa fees, and any other bizaare fees your lender and escrow agent throw at you (hoa fees are only if you buy a condo/townhome)
but no, there isn't "sales" tax.
the closing costs is what you need to be concerned about. they add up. for my last property it was 5% of the purchase price.
2006-12-26 10:28:35 · answer #7 · answered by lodnem 3 · 2⤊ 0⤋
No sales tax when purchasing however there are mortgage tax stamp and deed tax for recording. When you sell there is a transfer tax.
2006-12-26 10:39:44 · answer #8 · answered by tianaramal 4 · 2⤊ 0⤋
Every State and many counties charge their own Transfer, Recordation, and/or excise taxes. What state are you buying in?
2006-12-26 12:07:39 · answer #9 · answered by Anonymous · 0⤊ 0⤋
what if you re paying cash? what money in taxes would you owe?
2015-08-25 10:54:23 · answer #10 · answered by Becky 1 · 0⤊ 0⤋