Real Estate Taxes Help

[jeswatson94]

I have a situational question for anyone who may know real estate taxes. I had a land swap in 2025 with the builder of my neighborhood, they gave us some land and we gave them some land. For the troubles of having a home being built closer to us they gave us $12,500 to make up for that. We had owned our property (with home) for 1.5 years when this occurred and the dwelling stayed with us, obviously. Do I need to disclose this amount on our tax filing if our taxable income is under the $96,700 capitol gains threshold for married filers? So we would not owe taxes on this.

[DavidD66]

Yes, you need to report the transaction on your tax return.  Even if your income is below the threshold where capital gains are taxed, you are required to report it.  It will impact your Adjusted Gross Income (AGI) which could affect other items on your tax return.