How Does a 1034 Exchange Work?
Once upon a time, before the late 1990s, you could sell your personal residence for a profit. The issue, however, was that the capital gains on that sale might automatically trigger a taxable event in the form of capital gains taxes. Unlike today, those tax rates were high, averaging 28%.
How to Avoid Capital Gains Tax When Selling Farmland
Accountants and finance professionals view farmland differently than other capital assets. For example, a retail strip center and undeveloped farmland are both real estate. But their purposes and uses can differ.
How To Minimize Capital Gains Tax
There can be significant advantages to owning investment real estate, including reducing taxable income with business expenses, depreciation, and amortization. Unfortunately, what the IRS gives, it also eventually takes back. In this article, we’ll discuss capital gains tax, how to calculate potential capital gains tax liability, and ways commercial real estate investors can minimize the impact of tax on capital gains.
Can You Use Capital Gains to Pay Off Debt?
There’s nothing wrong with using profits to pay down debt. That simple transaction reduces leverage. But is it possible to pay down debt using capital gains, and are there any tax advantages to this tactic?
Is Form 8824 Required Every Year?
A 1031 exchange is a complex process. There are many rules to follow so that the exchange isn’t invalidated. Additionally, specific forms, such as form 8824, must be filed. The frequency and timing of filing for this form can vary depending on the taxpayer’s specific situation. In this article, we’ll look at form 8824 in more detail and discuss its filing requirements.
What Happens When a Joint Tenant Dies?
Sorting out real property ownership interests following the death of an owner can be a complicated, messy, and prolonged legal process.
How to Get a Wholesale Property Under Contract?
Novice and even experienced real estate investors know that completing real estate transactions is often a complicated process – and that’s not even taking into account the capital that’s required to acquire or secure financing for commercial and residential investment properties.
What is Tenancy by Entirety?
Married couples have a plethora of important financial decisions to make, and one of the biggest comes when they purchase a home together.
Should I Change My Investment Strategy When Inflation Increases?
Stock market investing is often described as long-term, not to be disrupted in reaction to short-term economic influences. A traditional investing strategy supports crafting a mix of stocks and bonds (or similar fixed-income investments) designed with consideration to your risk appetite and then left alone. combining potential for growth with stability, you may want to develop a 60/40 portfolio. That means you have sixty percent of your stock holdings and the balance in fixed-income instruments like bonds. The foundational hypothesis for the 60/40 portfolio is that the stocks will appreciate while the bonds reduce volatility to help manage short-term losses.
Do Opportunity Zones End in 2026?
The 2017 Tax Cuts and Jobs Act (TCJA) created a tax investment incentive program targeting economically distressed areas. Each state and all eligible US territories nominated these areas as Qualified Opportunity Zones, and the Treasury Department selected the final list of over 8,700 census tracts. The QOZ program offers tax benefits for taxpayers who reinvest capital gains into business opportunities in the designated areas.
