barrelracr131 - 2014-07-09 1:02 PM guns & ammo



;-) 

nmeastplains - 2014-07-09 3:08 PM

Here is some additional information. 
I will be selling some property.....I would like to know what kind of sound investments would help me keep as much of my money as possible. Is that still too vague...? 
Also, I have been told that if I take the lump sum I will have to give 30% to the govt....is that accurate, close to accurate? I would like to minimize the 30% if possible. I have been asked to carry the note...ummm, not what I am really interested in and I am not sure that it would leave the money readily available should I invest in another piece of property. Is that still too vague? 

TryingToStayOn - 2014-07-09 2:40 PM Is this property your primary residence?  If so then this will apply to you...



Topic 701 - Sale of Your Home

A home is often a person’s most valuable capital asset. If you have a gain from the sale of your main home, you may qualify to exclude up to $250,000 of that gain from your income. You may quality to exclude up to $500,000 of that gain if you file a joint return with your spouse. Publication 523, Selling Your Home, provides rules and worksheets. Topic 409 covers general capital gain and loss information.

In general, to qualify for the exclusion, you must meet both the ownership test and the use test. You are eligible for the exclusion if you have owned and used your home as your main home for a period aggregating at least two years out of the five years prior to its date of sale. You can meet the ownership and use tests during different 2-year periods. However, you must meet both tests during the 5-year period ending on the date of the sale. Generally, you are not eligible for the exclusion if you excluded the gain from the sale of another home during the two-year period prior to the sale of your home. Refer to Publication 523 for the complete eligibility requirements, limitations on the exclusion amount, and exceptions to the two-year rule.

If you receive an informational income-reporting document such as Form 1099-S (PDF), Proceeds From Real Estate Transactions, you must report the sale of the home, even if the gain from the sale is excludable. Additionally, you must report the sale of the home if you cannot exclude all of your capital gain from income. Use Form 1040, Schedule D (PDF), Capital Gains and Losses, and Form 8949(PDF), Sales and Other Dispositions of Capital Assets, when required to report the home sale. Refer to Publication 523 for the rules on reporting your sale on your income tax return.

If you, or your spouse, is on qualified official extended duty in the Uniformed Services, the Foreign Service, or the intelligence community, you may elect to suspend the five-year test period for up to 10 years. You are on qualified official extended duty if, for more than 90 days or for an indefinite period, you are:

• At a duty station that is at least 50 miles from your main home, or


• Residing under government orders in government housing.

barrelracr131 - 2014-07-09 2:02 PM guns & ammo

;-) 

lindseylou2290 - 2014-07-09 2:36 PM So to give you ideas on questions to ask ... Ask about rolling the property money into more property. You can avoid some taxes that way and still turn a profit - depending on the timelines. There are specifics that your certified accountant can explain to you on that end. Also, I would not carry the note for the new investor. Don't do it. Many things happen - make them go get conventional funding. It is too much risk often for you as the owner of the property to carry the note. It will not "leave the money readily available". It will tie it up as you become the bank and take on the risk involved in lending, so just avoid it and don't do it. If you're worried about the time line from when the sale of property #1 is final until when property #2 is found/finalized that you wish to invest, ask about short term turn around money parking type things ... money market accounts could potentially be a way to do this. Good Luck! The above is only my opinion and reflects what I have experienced.

wyoming barrel racer - 2014-07-09 3:30 PM


What they said.  

nmeastplains - 2014-07-09 1:57 PM I want to start off with saying that I will be seeking the advise of an accountant, however I would like other peoples opinions on what are the best options for investments to prevent the govt from taking such a large chunk of $. 

jd&ez - 2014-07-10 4:19 PM Talk to a financial advisor instead of an accountant. Actually talk to more than one financial advisor. They are not all equal.