Banking service chronicle Published this article the rollover rule was replaced in 1997 with current law that allows for the tax-free sale of personal property in many cases. this works great if you are selling your primary residence after living in it for many years but if youre selling a house you havent lived in your in a different group. the residence will be considered an investment property and the tax considerations are completely different and more costly. "we have tens of thousands of people getting into real estate" says mark zilbert a realtor. "the majority of buyers understand that they can flip for a profit understand what it means dollarwise but they dont understand that taxes could reduce just how much of a profit they make." instead of running a fast game a tax-smart flipper could benefit from a slower investment pace. investment profit whether stocks or real estate is considered capital gain and is taxed at two levels. the tax rate depends on how long you own the property banking service chronicle monthly magazine buy.
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