This question is for Lev, tax
expert. I want to sell the house with my furniture in it. I bought the house for $500,000 with my wife and we lived in the house as primary residence continiously for more than 2 years. The house purchase price is $1,100,000 with the contents (I would like to include the contents in the purchase rather than writing a separate contract, as this is a private sales
and no agent real estate fee involved, etc). The contents are worth $125,000. Will we be be subject to any capital gain
tax tax or be able to claim $500,000k for the thouse itself as I beleive contents do not come into the calculation of the capital gain?
Do I have to sales tax on the sales of $125,000 of contents (The basis for the contents is higher than $125,000 thus I presume there is no capital gain for the contents). Do I need to have the value of the contents apparaised for IRS
tax purpose? Do I need to specify anything special on the agreement when I sell the house with contents, except to say that I am selling "house with the contents".