 abbashasan
Joined: 25 Sep 2009
Posts: 1
1.39 Dollars($)
|
 Posted: Fri Sep 25, 2009 12:12 pm Post subject: Selling vacant land - taxes = ? |
|
|
Hi,
I bought a piece of land for $79,000 almost three years ago. My intention was to sell my home (in a different city) and build on the vacant land. Basically, I could not sell my home, so I am selling the land now for $89,000.
However, I did put in $1,900 in the vacant land (making the concrete sidewalk). With the commission to the real estate agent, I would make a very small profit on this land. (If I count how much I paid in property taxes over the three years, I would be making a loss).
Anyhow, my question is this: What is my gain that I owe taxes on and what taxes (capital gains or income)? Do I include the commission, the cost of the sidewalk, and the property taxes I paid in computing the gains?
Thanks. |
|
