Capital Gain Tax Year

[spotter1950]

I sold a property on 12/30/2022 but did not receive payment until 1/4/2023.  All of the paperwork for the sale was dated 12/30/2022.  In which tax year must this sale be reported?

[Mike9241]

2022. that should be the year of sale reported to the IRS. what will be reported to the iRS. 

[spotter1950]

Even if I did not realize the gain (in money in my bank account) until 2023?

[Critter-3]

Yep ... even if the payment never happens the property was sold in 2022 and reported in 2022. 

[TomD8]

Capital gains are taxed when they're "realized." Your capital gain (or loss) is generally "realized" for tax purposes when you sell a capital asset.   That's why you use the date of sale.

[Hal_Al]

Your 1099-B is going to be for 2022 and that's when the IRS expects to see it on your 1040, 8949, and Sch D.