Selling Investment Property With a Delaware Statutory Trusts (DST) Reader wants to know whether a 1031 exchange or Delaware Statutory Trust is preferred when selling investment property Q: I read your recent response to a person who inquired about selling rental properties they own. While your response was factual you made no mention of the [...]
Home Sale Tax Exclusion: What are the rules? Q: I learned something new in your recent article about the home sale tax exclusion. I did not know that a person could receive the benefit of the Internal Revenue Service (IRS) rule that allows homeowners to exclude from federal taxes the first $250,000 in profits from [...]
Primary House Tax Break Wife's name isn't on the deed. Can they still enjoy the full $500,000 primary house tax break? Q: I have a question about the primary residence tax break. I am selling my primary home in Chicago that I’ve owned for about 30 years. I owned another property in another state and [...]
Sell without paying capital gains tax? A reader wants to know how they can sell their home without paying capital gains Q: In 2020 my husband and I paid cash for a condo that my college son has lived in while going to school. He is about to graduate and get married. We are now [...]
How do I minimize taxes for my parents? A reader wants to buy her parents' rental property and minimize taxes for them and for herself. Q: How do I minimize taxes for my parents? They have a rental property and own it without a mortgage. They want to sell it to me. Here’s the problem: [...]
Paying Estate Tax and Capital Gains Tax Heirs worry they could face double taxation and pay more estate tax and capital gains tax when selling to a relative Q: I have enjoyed your columns for many years and have a question about how to avoid overpaying estate tax and capital gains tax. We have a [...]
When do I have to pay capital gains tax on real estate? What's included when calculating the cost basis for his home and what costs of sale count. Q: I have a couple of capital gains tax questions regarding upgrades to my home. First, I had $400 worth of bushes installed last spring in my [...]
Capital gains tax on inherited property? Q: My husband died and I am the beneficiary of his trust, which was transferred to me. Basically everything he owned is in the trust, including our home. I transferred the title to the home into my name. I took no money out of the trust and I didn’t [...]
Can you avoid capital gains tax by gifting? A reader wants to know if they can reduce a potential capital gains tax bill by gifting a portion of the home to his daughter. Q: My daughter, my wife and I are co-owners of the home. Our daughter lived with us until 2021. We bought the [...]
Calculating capital gains on sale of a home is tricky. Especially if you've made improvements to the property. Not everyone enjoys calculating capital gains on the sale of a home. It requires keeping close track of the cost of improvements made to the property over the years. Over the past few weeks, we’ve fielded a [...]
