Tax Law changes - 2013
Sale of Residence - 3.8% Surtax?
Only a small percentage of home sellers will pay the 3.8% surtax. Only those with incomes over $200,000 a year ($250,000 for married couples filing jointly) will be subject to it. The tax still won’t apply to the first $250,000 on profits from the sale of a personal residence — or to the first $500,000 in the case of a married couple selling their home. The tax calculation will be the LESSER of the Investment income amount OR the Excess of AGI over the $200,000 or $250,000 thresholds x 3.8%.
Need Professional Help?
If you need help with "Tax Law changes - 2013" or have other tax questions, we can help you find a local licensed tax preparer for a free, no-obligation consultation.