How much capital gains tax will you pay?
I am here in Florida just before the presidential primary takes place and the political ads are in abundance. One that I have found very interesting is for John McCain where he promises to make the Bush capital gains tax cut permanent.
Why is this important for rental property owners? Well I had a conversation with my tax accountant several weeks ago about the tax impact of selling one of my rental properties. She informed me that that the sale of my property would result in a long term capital gain. The next president will be in position to make this tax break permanent, or eliminate it. Removal of this tax advantage would make the sale of an investment property taxed at the highest rate.
Keep your eyes open for which candidates are in favor of keeping the tax cut. It will have a huge impact on your future capital gains.
Comments
Leave a Reply