I am selling a mobile home that was given to me, when taxes come around will I have to claim the sale and pay taxes on the sale due to profit? I've never sold a mobile home before and dont know the legallities of the process, need detailed help on what to do.
2007-05-31 06:55:12 · 4 answers · asked by dar24mayo 2 in Business & Finance ➔ Taxes ➔ United States
You are taxed on the difference between the sale price (less expenses) and your basis (ie cost). As this was a gift, your basis is the same as the basis of whomever gave it to you.
If this was an inheritance, and not a gift, there are different rules.
2007-05-31 06:59:49 · answer #1 · answered by Wayne Z 7 · 0⤊ 0⤋
the legalities of selling a mobile home depend on where it is located. You'll have to look up in your state's/province's laws how to do that. [Or find an example of a recently completed sale.]
MAJOR pitfall ... in many communities, used mobile homes are only salable if they are located on land whose lease can also be transferred to the buyer.
In my community, and many others, there is a continuing shortage of spaces to park mobile homes. It isn't legal to simply plop them on any parcel of land, you have to get permits and have utilities.
Since most mobile home parks are older, the land on which they are situated is frequently worth many times what the owners have in it. So parks are closed down and the land re-zoned for condos or houses.
That means that all of the mobile homes have to be moved.
And moving a mobile home isn't free, nor necessarily easy. You have to hire the job done [it takes a truck tractor and specialized towing rig -- possibly an oversize permit, too.]
First, of course, you have to have somewhere to move it to. That almost always means another mobile home park that will take it.
Surprise!! Many older mobile home parks won't let you bring in any 'substandard' mobiles and they inspect [at your expense] all candidates. Further, rents may well be much higher than you think they're going to be.
Most newer mobile home parks are actually owned by the makers of new mobile homes. In essence, they don't allow anyone at all to move in who didn't just buy a new mobile home from them.
With limited supply and possibly large demand the usual thing occurs -- prices [rents] go up. And that's if you can find a space that'll have your mobile.
Btw, land rent is due every month whether the home has sold or not, or even whether it is rented or not.
Bon voyage.
:-)
2007-05-31 14:14:47 · answer #2 · answered by Spock (rhp) 7 · 0⤊ 1⤋
Yes, you'd show the net selling price as a capital gain on your tax form. You'd fill out a schedule D for the info, then that info will transfer to a 1040 form. Net selling price would be what you sold it for minus any expenses of the sale.
2007-05-31 14:02:10 · answer #3 · answered by Judy 7 · 0⤊ 0⤋
Maybe so !?! Not real sure !?! But if you can claim anything in your home on your taxes !?! Well that can also be seen as an extenstion of your HOME !?! could it not? & you can MOVE it at will !! lol just be sure you have an address I guess !?! lol "R"r`r,r'r.r`,'->
2007-05-31 14:03:51 · answer #4 · answered by ? 5 · 0⤊ 2⤋