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New Member
posted Jun 4, 2019 11:01:45 PM

For a plumbing contractor, is new construction reported at a different tax rate?

I was told by our CPA that new construction was taxed differently, but haven't seen anything that separates regular income from that of new construction.

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New Member
Jun 4, 2019 11:01:46 PM

There is not a separate tax rate for "new construction." The tax rates operate on a tiered structure...10% until it becomes 15%, until it becomes 25%, etc...There are different tax rate structures for collectibles, and capital gains but not for new construction.

1 Replies
New Member
Jun 4, 2019 11:01:46 PM

There is not a separate tax rate for "new construction." The tax rates operate on a tiered structure...10% until it becomes 15%, until it becomes 25%, etc...There are different tax rate structures for collectibles, and capital gains but not for new construction.