Hi - I have a rental home that I bought in June of 2015. I lived in it as my primary home and started renting it in February 2017. There was a fire in June of 2019 this year and it was a total loss for the insurance. The insurance is going to pay for the repairs of rebuilding the home and are also paying me for loss of rents. After they finish rebuilding it, I am planning on selling it. How much taxes will I have to pay on it?
FYI: I bought the home for $165,000, I've been adding it to my taxes as a rental and doing the depreciation since I started renting it in 2017. I have no idea how much we are going to sell it for, but my guess based on other homes in the area will be like $220K
