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large capital gain tax due

I sold my condo and need to know when this year I have to pay my capital gains tax. It is unclear when I have to make my payment. I do not know if I might suffer the wrath of the IRS if I pay next year at filing, or do I have to pay this quarter, June 15? I know the exact amount(s) I have to pay. The variable is due to learning that the gross sale price is added to the top of my adjusted income, which I declare as unfair but oh well, and I will be right at the $517K threshold to invoke the 3.8% penalty or enter the sliding 15 to 20 percent variable capital gains rate. Going to work hard to make sure that does not happen.

 

Nutshell: When am I required to pay capital gains on real estate sale? At the quarterly filing deadline for the quarter sale occurred, or by the next quarter, or may I delay until filing 2022 taxes?

1 Best answer

Accepted Solutions

large capital gain tax due

If this condo was your personal residence, you might be able to exclude part or all of the gain.  Link for info

https://www.irs.gov/businesses/small-businesses-self-employed/sale-of-residence-real-estate-tax-tips

https://www.irs.gov/forms-pubs/about-publication-523

 

If you have to include all/part of the gain, you don't have to pay tax all at once.  You would pay estimated taxes.

https://www.irs.gov/faqs/estimated-tax

https://www.irs.gov/pub/irs-pdf/f1040es.pdf

 

 

 

 

**Disclaimer: Effort has been made to offer correct information; but due to the discussion forum limitations, the poster disclaims any legal responsibility for the accuracy of the poster's response**

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2 Replies

large capital gain tax due

If this condo was your personal residence, you might be able to exclude part or all of the gain.  Link for info

https://www.irs.gov/businesses/small-businesses-self-employed/sale-of-residence-real-estate-tax-tips

https://www.irs.gov/forms-pubs/about-publication-523

 

If you have to include all/part of the gain, you don't have to pay tax all at once.  You would pay estimated taxes.

https://www.irs.gov/faqs/estimated-tax

https://www.irs.gov/pub/irs-pdf/f1040es.pdf

 

 

 

 

**Disclaimer: Effort has been made to offer correct information; but due to the discussion forum limitations, the poster disclaims any legal responsibility for the accuracy of the poster's response**

large capital gain tax due

Thank you - it is considered an investment property. I appreciate the links so I can start my payments instead of the lump sum.

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