View Single Post
Old 04-16-2024, 03:27 PM   #11814
opendoor
Franchise Player
 
Join Date: Apr 2007
Exp:
Default

Quote:
Originally Posted by Cowboy89 View Post
Example:

Let's assume your marginal income tax rate is 25%.

Sell your rental property before June 25, 2024.

$300,000 gain * 50% * 25% = $37,500


vs.

Sell your property after June 25, 2024:

Tax Bill = $39,583.33

-$300,000 gain - $250,000 annual limit = ($50,000*66.667%*25%)+($250,000*50%*25%) = $39,583.33
The bolded isn't possible with a $300K gain (assuming it's a single taxpayer claiming it). Even with zero other income, the marginal rate is going to be 40%+.
opendoor is offline   Reply With Quote
The Following User Says Thank You to opendoor For This Useful Post: