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Capital Gains Tax on the Sale of My Home

Posted on 9/1/10 at 3:31 pm
Posted by The Darrow Kid
Darrow
Member since Jan 2006
5108 posts
Posted on 9/1/10 at 3:31 pm
I started construction on my home in January of 2009 and moved in in May 2009.

Now my question is when will the 24 months grace period be over? Jan or May?

Next how much (%) can I expect to fork over to uncle sam if its under 24 months? I'm expecting to only make around 30k.
Posted by LSUMon
Monroe
Member since Aug 2006
397 posts
Posted on 9/1/10 at 3:52 pm to
15 % as of right now. Cap gain rates should increase. There are loopholes that you can reduce, or even get out off, paying capital gains on the sell of a personal residence that has been lived in for less than 2 years. They moving for employment, health issues, and martial status/unexpected babies (like quads). And to answer your question about when to start counting, go by the settlement sheet or when the loan is finalizied.
Posted by jmtigers
1826.71 miles from USC
Member since Sep 2003
4970 posts
Posted on 9/1/10 at 3:52 pm to
It should be from when you moved in.
Posted by The Darrow Kid
Darrow
Member since Jan 2006
5108 posts
Posted on 9/1/10 at 3:53 pm to
thanks
Posted by Geaux13
St. Amant
Member since Sep 2008
429 posts
Posted on 9/2/10 at 6:52 am to
From when you get your Certificate of Occupancy.

Which would be May.
Posted by WaveForLSU
Member since Oct 2008
5537 posts
Posted on 9/2/10 at 3:05 pm to
quote:

unexpected babies (like quads)


That's one hell of a loophole to jump through just to decrease capital gains
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