I need help with estimating new york capital gain tax on a sale of property in an LLC partnership. LLC will be closed upon sale. I know federal tax rate is 15%

[Mike9241]

you do not know the federal tax rate. on the sale of depreciable property with a gain, first depreciation allowed or allowable up to the amount of gain is taxed as section1250 gain. the rate on that can be up to 25%. the rate on any remaining capital gain can be 0%, 15%, or 20% depending on your other income and capital gains.

then you may be subject to the Net investment income tax 3.8%

The net investment income tax thresholds are based on your filing status and income. You are likely subject to this tax if you have investment income and your modified adjusted gross income exceeds certain thresholds.

Filing Status Income Threshold
Single or head of household $200,000
Married filing jointly $250,000
Married filing separately $125,000
Qualified widow(er) with a child $250,000

you didn't say where in NY the property was located because certain NY cities have their own income tax.

[Rhyme2096]

The property is in Westchester County and there is no local income tax. As I said, I have no reliable information on what New York state tax rate will be on capital gains.

[Critter-3]

The partnership doesn't pay taxes even on the final 1065 form  ... the gains are passed thru to the partners on a K-1 form issued to each partner.  So the rate of cap gains or depreciation recapture  will depend on the tax situation of each partner.  

If you don't know how to complete a final partnership return on a short tax year  I highly recommend seeking local professional assistance. 

[Opus 17]

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@Rhyme2096 wrote:

The property is in Westchester County and there is no local income tax. As I said, I have no reliable information on what New York state tax rate will be on capital gains.

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New York State does not have a special capital gains tax rate.  All your income is taxed at the same ordinary income rate, which is between 4% and 8.82% depending on your total income.

[Rhyme2096]

Thanks. I called NYS taxation department and they said the same thing and pointed to tax tables in the instructions for IT-201