Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: Mamzelle

"I hope he manages to sell it and make a little after taxes."

If he lives in it only three weeks and then puts it on the market, he has an almost iron-clad case that the selling price is the basis for taxible income from the prize.

If so, whatever price he sells it at, he gets to keep at least 60% of the profit (depending upon whether there are WV income taxes, and whether the IRS insists that the gain from selling the place is really "income" and therefore subject to Social Security). That should leave him enough to pay for a 3-2-2 in a nice subdivision free and clear.


8 posted on 09/11/2006 5:55:38 AM PDT by No Truce With Kings (The opinions expressed are mine! Mine! MINE! All Mine!)
[ Post Reply | Private Reply | To 2 | View Replies ]


To: No Truce With Kings

>>If he lives in it only three weeks and then puts it on the market, he has an almost iron-clad case that the selling price is the basis for taxible income from the prize.

Beat me to it. My wife, the very-accomplished CPA, would probably leave out the "almost".


12 posted on 09/11/2006 6:01:06 AM PDT by FreedomPoster (Guns themselves are fairly robust; their chief enemies are rust and politicians) (NRA)
[ Post Reply | Private Reply | To 8 | View Replies ]

To: No Truce With Kings
If he lives in it only three weeks and then puts it on the market, he has an almost iron-clad case that the selling price is the basis for taxible income from the prize.

In in '80s I won a truly hideous ruby and diamond necklace valued at $11,000. I was advised to run an ad in the paper ASAP offering it for sale as evidence of intent to sell. It took a few weeks to sell it and I didn't get anywhere near $11,000 for it, but I did sell it. I was taxed on the sale price, not on $11,000 because I had proof of intent to sell from the very beginning.

70 posted on 09/11/2006 6:42:43 AM PDT by alnick
[ Post Reply | Private Reply | To 8 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson