May 05, 2011

Home Ownership Tax Information

Posted to Jeremy Page

Inman News reporter Tom Kelly wrote an article about some tax information in regards to home buying and selling. About four years ago the Internal Revenue Service changed the law that required consumers to pay taxes on mortgages forgiven by their lender. This includes short sales and foreclosures. This was a benefit to those who had fallen on hard economic times. The “loss” used to be reported as income to the homeowner. However, there is not currently any tax deduction or tax relief for homeowners who have to sell their home at a loss.

The Taxpayer Relief Act of 1997 allows for a tax-free capital gain on the sale of a primary residence. It allows up to $500,000 for married or $250,000 for single people. This benefit is allowed to be used every two years.

Are you interested in selling your house? Also, if you have any tax related questions I have a great CPA I work with and he would be happy to help you. For any real estate questions related to the local great Indianapolis area give me a call/text at 317-413-5311 or email me at .

Posted by:  Jeremy Page

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