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New Member
posted Jan 17, 2023 11:23:05 AM

I am selling my timeshare to a foreign company. Do I calculate my taxes for Florida or Texas (live)? Who can I call to get this information?

My resident is Texas but the timeshare is in Florida.  I am currently not working but worked all of last year.  I am retired military. Which tax bracket do I use?

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4 Replies
Level 15
Jan 17, 2023 11:54:57 AM

It's not clear what you are asking. The federal taxes are the same in all states. Neither Texas or Florida have a state income tax so that is not an issue. Why are you asking?

Expert Alumni
Jan 17, 2023 12:01:03 PM

No, you do not have to pay tax on the sale of the timeshare in either Florida nor Texas because neither of them have an income tax.

 

Your tax bracket is determined by the amount of income you made, less ant deductions.  This will include any wages, but MAY include retirement pay.

 

  • For single taxpayers and married individuals filing separately, the standard deduction is $12,950 in 2021.
  • For married couples filing jointly is $25,900, and 
  • For heads of households, the standard deduction is $19,400.
  • If you're at least 65 years old or blind, you can claim an additional 2022 standard deduction of $1,400 ($1,750 if using the single or head of household filing status). 
  • If you're both 65 and blind, the additional deduction amount is doubled.

 

New Member
Jan 17, 2023 1:18:01 PM

I am selling my timeshare and I understand I have to pay a foreign sales tax and report the sales because the amount is in excess of $10,000.  I don't know how to calculate the taxes on the sale or where to start looking. 

Level 15
Jan 17, 2023 1:57:06 PM

You will have to ask the foreign country if you owe tax in that country.

 

In the US, you may owe capital gains tax if you sell property** for more than you paid for it, but if you receive less than you paid, you likely have a capital loss.  Income from capital gains is taxable but losses on the sale of personal property are not deductible.  

 

**Property includes real property (land plus attached buildings), tangible property (physical items) and intangible property (such as the right to use certain facilities for vacation).   So it doesn't matter if you actually owned a share of real property or just the right to use the resort.  The calculation of capital gains or losses is the same.