One of the first factors that influence your potential income tax liability on the sale of the house was its use. If the house was your primary residence for any two of the past five years, you do not have to pay capital gains tax on the first $250,000 of your profit...
I have a question related to selling your primary residence? Living in Vancouver housing prices are out of control and we are thinking of cashing in. Our house is in both my wife and my name, although I am the only income earner in the family and have paid for the mortgage over the ...
When a South African citizen sells their primary residence, capital gains tax (CGT) will not be due on the first ZAR 2 million. A portion of the exclusion gets utilised if the property was previously leased. This is true also if the property was in part used for commercial purposes. Tax-...
Tax base of an assetis the amount that will be deductible for tax purposes against any taxable economic benefits that will flow to an entity when it recovers the carrying amount of the asset. For example, when you have an interest receivable and interest revenue is taxed on a cash basis, ...
Risk level: Low to High (depending on the investments you choose)Time horizon: Long-term (10+ years)Good for: Retirement planning with tax benefitsIRAs are Individual Retirement Accounts that you can open at brokerages. These allow you to invest more for retirement beyond just an employer 401...
We used an existing tax loophole where if you sell your primary residence (after having lived there at least two years) you get to keep your profit tax-free. So, we stair-stepped. We bought house after house, at least two years apart, used the profit money to pay down on the next ...
They'll first earntax-free profits up to $500,000if they've lived in their primary residence for two out of the last five years. Whatever profits are left will then face the various long-term capital gains tax rates. Another scenario may be when a couple cashes in on their...
If you're a service member or a veteran with an honorable discharge, the GI Bill may provide funding to help with college costs. The benefits can add up to thousands of dollars that you do not have to report as income on your individual income tax return
Two of the most popular options are thesolo 401(k)and theSEP IRA. If you stash the cash in a traditional 401(k) or SEP IRA, you can take a tax break on this year’s taxes. The solo 401(k) is great because you can stash up to 100 percent of your earnings into the account, ...
You can, however, do a bit of a dodge if you are willing to completely relocate. If you sell your primary residence with the $250,000 per person tax-free deduction and move into the vacation home and declare it your new primary residence, you will be able to use the $250,000 ($500...