Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 12-08-2017, 08:59 AM
Junior Member
 
Join Date: Dec 2017
Posts: 1
Capital gains on sale of second home

How much will I owe in capital gains? I am in 33% tax bracket filing married jointly. Profit is around $250k. Looks like capital gain and state tax (Colorado) plus Medicare tax will add up to around %25. So my question is does the capital gain amount minus the 25% get added to my taxable income and put me into a higher 35% tax bracket.



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 12-09-2017, 01:14 AM
Moderator
 
Join Date: Oct 2010
Posts: 5,085
How much will I owe in capital gains? I am in 33% tax bracket filing married jointly. Profit is around $250k. =====> Then you need to pay 15% of CG tax on your LTCG. Taxpayers in the 10 and 15 percent tax brackets pay no tax on long-term gains on most assets; taxpayers in the 25-, 28-, 33-, or 35- percent income tax brackets face a 15 percent rate on long-term capital gains. For those in the top 39.6 percent bracket for ordinary income, the rate is 20 percent.

Looks like capital gain and state tax (Colorado) plus Medicare tax will add up to around %25. So my question is does the capital gain amount minus the 25% get added to my taxable income and put me into a higher 35% tax bracket.=====>you need to file sch D of 1040 and report the CG on your 1040 line 13 and go over Sch D of 1040 and need to complete the Qualified Dividends and Capital Gain Tax Worksheet in the instructions for Form 1040, line 44. Your CG are added to your income for the purpose of determining your tax bracket. The capital gain pushes you into the higher tax bracketYou need to check your state taxes on your LTCG with the dept of revenue of CO state;if you are a self employer, then you do not pay any self employment taxes( I mean self employer?s medicare taxes) on your CG; However, if your self-employment income is less than $400 for the year, you don't need to pay self-employment taxes.When you work as an employee, your employer withholds the employee portion of your Federal Insurance Contributions Act taxes -- the Medicare and Social Security taxes -- from your pay, and pays the rest herself.



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
Home Sale / Capital Gains Tax? dusabrive Capital Gains 1 06-22-2017 07:31 PM
Capital gains tax on home sale fortyniners Capital Gains 3 05-12-2017 05:00 AM
Capital gains on home sale- where to start. DrJBN Capital Gains 1 05-12-2017 04:28 AM
Capital Gains on home sale jpegg Capital Gains 1 02-25-2013 02:35 AM
capital gains tax break on the sale of my home. hackstat Capital Gains 1 05-10-2011 03:02 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