I have lived in my home for 6 years. I am selling to move and will make 175k to 200k. Do I have to pay capitol gaines taxes. How long do I have to purchase another home to avoid the taxes.
2007-06-09 22:46:35 · 3 answers · asked by Daniel D 5 in Business & Finance ➔ Renting & Real Estate
If you're single and have been living in the home two of the last five years, you don't have to pay taxes on the first $250,000 of profit. It's $500,000 for married people. So, you're clear!
2007-06-09 22:50:41 · answer #1 · answered by Katherine W 7 · 2⤊ 0⤋
I have been a tax accountant for 27 years. The law was changed years ago. Great news for you! Your profit falls below the limit so the whole thing is exempt from federal taxes. And, at that level of profit, you do not need to buy a replacement residence unless you want to do so.
2007-06-09 22:54:37 · answer #2 · answered by Steve C 5 · 2⤊ 0⤋
No, not if you have been living there. And not if you are buying another house.
2007-06-09 22:49:04 · answer #3 · answered by ? 7 · 0⤊ 3⤋