Do you have to pay tax if your buying an apartment or house on cash?

Question

It's for this economics class I am taking.

Answer 1

of course...our government is not picky about the form, just the amount they get! :) You (maybe the seller--depends on where you are) probably have to pay a real estate transfer tax, usually based on the sale price.

and if you're talking about property taxes...absolutely...it will likely be based either on the actual sales price or the assessor's value, depending on your city, state and county.

Answer 2

That question isn't worded all that well. Are you buying an apartment building or a house,and paying for it with cash?

I guess it might depend on where you live, but in general, you don't pay any sales tax when you buy a house or apartment building. However, when you sell the house or apartment building, you will have to pay capital gains tax on any profit you make.

There are usually real estate taxes that have to be paid if you buy a house or an apartment building, but you usually don't have to pay them immediately after buying the property.

Answer 3

You still have to pay property tax every years based on the price that the government appraises for your property.

Answer 4

there is no SALES TAX on a house but there are other taxes associated with selling a house that are called taxes such as tax stamps and real estate taxes