Hi, @JMB67 , thanks for your question!
There's not much you can do to "handle" these capital gains, other than making sure that your numbers are accurate. By this, I mean that you've taken into account everything that might reduce your taxable gain. Your cost basis can be increased, and therefore your gain decreased, by accounting for all acquisition costs of the home, such as legal, abstract, and recording fees. It can also be increased by the cost of major improvements, such as additions or upgrades. And similarly, your selling proceeds can be decreased by sales costs.
One possible way to "handle" these gains is through what's called a like-kind exchange. In the simplest terms, this allows you to defer these gains by "swapping" the property for a similar property. Another might be "tax-loss harvesting", where you offset some of your tax liability by disposing of investment assets that have declined in value.
Hope this helps, please feel free to ask more if not!
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
