Capitol Gains Tax On Land And Building
Have had land for 20 years, building built 16 years ago, have about $49,000.oo invested in this and have had a offer of 175,000.00. What kind of gains tazx will I be liabile for?
Have never delt with things like this before.
The profit on the sale due to appreciation is taxed as a long term capital gain at 15%.
The portion of your sale profit due to depreciation taken since May 1997 is subject to depreciation recapture at 25%.