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hamilton55
New Member

My wife was given a piece of property in roughly 06. The property has set vacant since then. The question is, what are the tax consequences if she decides to sell now?

 
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Vanessa
Level 3

My wife was given a piece of property in roughly 06. The property has set vacant since then. The question is, what are the tax consequences if she decides to sell now?

If she sells the property for a profit, she will have taxable reportable income. How much it affects your taxes will depend on the amount it is sold for.  The higher the profit, the more she will pay in taxes, plus it will raise your overall income possibly having all of your income taxed at a higher rate than it is currently taxed at since it will increase your AGI.

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Vanessa
Level 3

My wife was given a piece of property in roughly 06. The property has set vacant since then. The question is, what are the tax consequences if she decides to sell now?

If she sells the property for a profit, she will have taxable reportable income. How much it affects your taxes will depend on the amount it is sold for.  The higher the profit, the more she will pay in taxes, plus it will raise your overall income possibly having all of your income taxed at a higher rate than it is currently taxed at since it will increase your AGI.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
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