Cap Gains Tax On Flips

kevinpop profile photo

If I flip a property quickly, aren't I subject to paying capital gains taxes? If I do this over and over, what is the benefit? Any ideas in avoiding cap gains on flips?

Comments(3)

  • DaveT29th October, 2003

    Check out the rest of the posts in this forum. Your question has been discussed many times.

    Bottom line is that the profits from your flip activities are reported on Schedule C and Schedule SE. No capital gains taxes involved here, just ordinary income tax and self-employment taxes.

    Does not matter whether you just do one flip, or do 100. The answer stays the same.

  • InActive_Account29th October, 2003

    The benefit of doing it over and over is that you make money, over and over

  • kevinpop29th October, 2003

    Thanks guys- just needed clarifiaction on the schedule C.

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