A real estate capital gain refers to the
difference between the sales price and purchase
price of a property. That difference is a
capital gain. In reality, the difference in
purchase and sales prices may be adjusted for
improvements, depreciation taken and other
influences for income tax purposes.
The converse of a capital gain is a capital loss.
When the sales price is less than the purchase price
(adjusted for certain items, of course) the result is
a capital loss.
Capital gains and losses can also refer to other
assets such as securities and personal property.
Capital gains can be offset by capital losses for
income tax purposes. Capital gains have their
own income tax rate which is separate from ordinary
income and usually more favorable due to the usual
duration of many years of ownership.
Capital Gains, Minimal Taxes 2007 by Kaye A. Thomas Amazon Price: $13.57
Customer Review: It is very clear and accurate in explaining the rules. It is not vey clear in certain chapters like Alternative Minimum Tax, or quantifying, even approximately, who can pass the trading activity test. It would have been very useful to give a defin...
Selling Real Estate Without Paying Taxes: Capital Gains Tax Alternatives, Def... by Richard T. Williamson Amazon Price: $14.93
Customer Review: I purchased the book to plan my tax strategy when selling an investment property that incurred significant gain. The sections on CRUTs, Installment Sales, and 1031 Tax Free Exchanges were very helpful and thorough. It is somewhat technical informat...
Tax-Free Swaps: Using Section 1031 Like-Kind Exchanges to Preserve Investment... by Bradley T. Borden Amazon Price: $19.77
Customer Review: So many books in the area of taxation simply restate the Internal Revenue Code. The same books create confusion and leave it to the reader to interpret how the Code is applied to real situations. "Tax-Free Swaps" is easy to follow and does not leav...
The Labyrinth of Capital Gains Tax Policy: A Guide for the Perplexed by Leonard Burman, Leonard E. Burman Amazon Price: $29.95
Customer Review: This gives an extraordinary review of the current and historical arguments for and against differential capital gains treatment. This book is not intented to help individual investors, but to inform readers on the policy debate. Extremely informati...
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