Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 02-18-2015, 05:28 PM
Junior Member
 
Join Date: Feb 2015
Posts: 1
Real Estate Tax - From Rental back to Primary Home

Hello, 4 yrs ago we moved from PA to WV. We are renting our home in PA because we could not sell it at the time. We bought a home in WV at that time and have recently sold it for a profit, and used that money to purchase another home in WV this past year. We now want to move back to the PA property. If we sell the new WV home, what are the tax implications? I am unsure if there will be any gains or losses in selling this current primary home. I am thinking there will be losses due to agent fees.



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #2 (permalink)  
Old 02-18-2015, 05:59 PM
Moderator
 
Join Date: Oct 2010
Posts: 5,227
Hello, 4 yrs ago we moved from PA to WV. We are renting our home in PA because we could not sell it at the time. We bought a home in WV at that time and have recently sold it for a profit, ========>>I guess your home in WV is your primary home; usually it is the home in which you live most of the time, whether you own it or rent it. A condominium, cooperative, houseboat or mobile home may be a principal residence.so, In most cases, you can make tax-free profits of $250k, or $500k depending on your filing status, every time you sell a home. you can make tax-free profits of $250k, or $500k depending on your filing status, every time you sell a home. you need to have lived in the house for at least 24 months in the 5-year period. Any profits in excess of the exclusion caps ($500k for married couples; $250kfor singles) will be taxed at the new lower capital gains tax rate, 0 or 15% depending on your tax bracket.

and used that money to purchase another home in WV this past year. We now want to move back to the PA property. If we sell the new WV home, what are the tax implications? I am unsure if there will be any gains or losses in selling this current primary home. I am thinking there will be losses due to agent fees.==>>>then no tax liability or no loss deduction on sale of your primary home in WV; A loss on the sale of a personal residence is considered a nondeductible personal expense. You can only deduct losses on the sale of property used for business or investment purposes.



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Real Estate tax Question - Primary House turned into Rental HotSun Rental Real-Estate 3 01-08-2015 12:48 AM
Converted rental to primary home mytaxes2013 Rental Real-Estate 1 02-18-2014 02:45 AM
Sale of primary home used as a rental taxreformnow Rental Real-Estate 10 03-27-2013 06:12 PM
Property Rental conversion to Primary Residence and Back to Rental Property jgmeyer Rental Real-Estate 1 01-03-2011 08:47 AM
My rental expenses for renting primary home egmacrae Rental Real-Estate 1 04-16-2010 01:48 AM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning