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CGassist.168
CGassist.168, Accountant
Category: Capital Gains and Losses
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Experience:  Tax Accountant
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5 yrs ago we sold our home in Massachusetts. purchased a

Customer Question

5 yrs ago we sold our home in Massachusetts.
purchased a home in new Hampshire we lived in for 5yrs,this was a secondary residence as we lived in florida 6 months a year.
3 yrs ago we purchased another home in new Hampshire that we rented out during the summer months.recently we sold both houses totaling $343,000,and bought a house for $350,000 again as a secondary residence.
total profit between the 2 after what we had invested in them comes to $100,000 .
we did not pay any cap gains on the nome we sold in Mass.
our total income from pensions and social security totals $40,000.
what % would we be looking at to pay cap gains ?
Submitted: 11 months ago.
Category: Capital Gains and Losses
Expert:  CGassist.168 replied 11 months ago.

Why did you not pay any capital gains on the home sold in Mass? If there is any gain, the tax percentage would likely by 15%. In order to determine your accurate gain or loss, you will calculate the sales for each property sold separately. The home considered your main home may qualify for the home sale exclusion. The 2nd home would not. If there was a gain on the sale of it, capital gains will come into play. For more detailed information relating to the sale of your home(s), you can view the IRS Pub 523.

Link to Pub 523:

https://www.irs.gov/pub/irs-pdf/p523.pdf

Let me know if I can be of further assistance to you regarding this matter.

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