Real Estate Tax Tips From Estate Tax Experts

Thursday, February 4, 2016

The Strategic Tax Lawyers are tax attorneys who are experts in real estate tax tips. Real estate deals are usually a profit maker and there has been an increase in foreign real estate investment to increase profits. But you may wonder…is the gain taxable or not?  The Strategic Tax Lawyers are real estate tax experts that have helped clients with the tax implications of selling property.

If you earn a profit from the sale of your real estate, also known as a capital gain, than that can be excluded from your taxes if you used that property as your primary residence for at least two out of the five years before you sold.  The IRS states that the most a tax that can be excluded is $250,000.  Also, there may be a chance that the capital gain is not taxable, so you won’t need to include the sale your tax return. It is a good idea to report the property sale to the IRS whether you claim an exclusion or not.  Under the tax law, you are able to exclude the capital gain from your main home only once in a two year period. More importantly, if you own more than one home, then you can only exclude the sale of the primary home. Unfortunately, if money was lost on the sale of the property, you cannot deduct that amount.

The Strategic Tax Lawyers are expert estate planning attorneys!

Most recently, foreign investors have infiltrated the U.S. commercial real estate market. real estate tax experts are predicting that even more foreign investments will take place because of leaner tax changes from December 2015. The legal changes to foreign investing in real estate are expected to make worldwide companies and pension funds on an even playing field with their U.S. colleagues. The real estate market could possibly see more foreign investment in commercial real estate with high valuations.

Last year, there was a significant rise, which quadrupled since four years ago, in foreign investment in U.S. commercial real estate. In the last quarter of 2015, foreign investors took advantage of the tax changes that month which caused one of the highest months ever recorded in foreign investments. This is not good news for U.S. investors, who are dealing with increased valuations and competition to get real estate. Some of the most popular markets for foreign investors include have been Los Angeles, Manhattan, Chicago Boston, and Washington, D.C.  More interest is being focused on New Jersey, parts of California and Seattle.

We are tax attorney firm based in los angeles California who can offer assistance estate planning.  Our firm has years of success in dealing with tax related matters with the IRS.  Call the Strategic Tax Lawyers at (800) 669-4775 for a free consultation to assist you with your tax-related matters.