Contact UsSale of 1031 exchange real estate
After purchasing the property, we hold it for 2yrs and sale it, does IRS just tax the capital on it or do they tax the actual $300,000.00 plus that we used to purchase it.
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Tax Professional Answers
John Stancil
You would pay tax on the gain over your purchase price which is your cost basis. However, what you have described is not s Sec 1031. If the property was a qualified Sec 1031 exchange, your basis would be the transferred basis in the property you exchanged.
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465 weeks ago
John Stancil
You would pay tax on the gain over your purchase price which is your cost basis. However, what you have described is not s Sec 1031. If the property was a qualified Sec 1031 exchange, your basis would be the transferred basis in the property you exchanged.
Leave a Comment
465 weeks ago