Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 12-29-2010, 03:01 PM
TaxGuru's Avatar
Tax Guru
 
Join Date: Jan 2007
Location: New Jersey, USA
Posts: 2,401
Blog Entries: 3
How does the IRS treat the gains from Flipping off mulitiple foreclosure properties bought and sold within a short period of time?

The tax court has ruled that any gains that result from from actively flipping foreclosure properties that are bought and sold within a short perid of time, (i.e. less than 6 months) are deemed to be ordinary income and thus cannot be used to offset any capital losses!

The tax court "identified these taxpayers as dealers in real estate."

Source: Tax Court Memo-2010-261

__________________
Find a CPA near you!

Ask TaxGuru Please refer to the legal disclaimer.


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
Short Period Tax return CCORP C-Corporation 0 12-01-2009 01:12 PM
What is the filing date for a New Corporation filing a short period return? TaxGuru C-Corporation 0 07-02-2009 10:10 AM
Capital Gains on a Short Sale? 99980000 Capital Gains 0 04-08-2009 10:20 AM
MD LLC bought/sold townhouse in DC - do I file MD tax forms, DC tax forms, or both? Susan Limited Liability Company 0 02-05-2009 10:54 PM
How to report Loss- Stocks Bought in Dec 2006, sold in Feb 2007.. pruthik_21 Capital Gains 3 02-05-2008 04:49 PM

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