Aloha,
I owned a home with my former husband. It was our first and only home. We bought it 1995 and we sold it Jan 2022. We purchased it for $220 and sold it for $880. We split the proceeds. I understand that we will also split everything (purchase, costs, proceeds) and report, file separately. I make a modest annual income of $25-$35K per year and usually take the standard deduction (because not enough deductions).
1. What it the the basic breakdown of how to calculate a first home real estate sale?
2. Do we deduct the entire original purchase price straight from the net after sale?
3. Do we deduct the entire (eligible) capital gains expenses (costs) from the net after sale?
4. Is the single deductible still $250K?
5. Does the taxable amount from sale get added to net income or is it taxed separately/differently to calculate Federal Taxes due on home sale proceeds?
6. What is the rate schedule for Federal taxes on home sale proceeds? How does one calculate the taxable and tax due?
7. What is the rate schedule for Hawaii State taxes on home sale proceeds? How does one calculate the taxable and tax due?
8. Are there any special laws / tax breaks around first home sale and second home purchased?
9. Are there any other special laws specific to first home sale?
10. Are there any recommendations for optimum tax filing?
11. Which Turbo Tax program do I use to best support optimum filing?
12. How much would it cost to work directly with a Turbo Tax CPA to ensure that I am filing correctly and completely?
