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Investors & landlords
Try this tool https://turbotax.intuit.com/tax-tools/calculators/taxcaster/?s=1. Enter your regular income first to see the regular tax. Then add the sale to see the effect.
Enter the difference between the sale price and what you paid for it originally as a long term capital gain (LTCG). Enter the depreciation you've taken (or should have taken) over the years (depreciation "recapture") as other income. Depending on how much total income you have LTCG are partially taxed at 0% or 15% (or 20% and/or 23.8% for higher income people). Depreciation recapture is taxed at your marginal rate, but not more than 25% (the Taxcaster tool is not capable of applying the 25% cap, but that shouldn't matter in your case).
May 14, 2023
5:10 AM
1,185 Views