Posted by JT-IN on October 09, 2002 at 22:29:24:
Ron:
You don’t really give enough info for anyone to accurately answwer this question. Here’s why…
Is this property owner occupied 2 out of the last 5 years…? If so, then the owner will owe no taxes on the sale… as up to 250K for single peron and 500K married is tax free if owner occ, and meets the requirements above.
Now, if it was a rental, then the above is out the window. In order to answer, the length of holding would have to be known, as well as improvement costs, acquistion costs, etc… If it is renatal property, then there are some tax benefits to selling over time; maybe not substantial to the average person, but nevertheless, there are some benefits.
Post more specifics and someone will provide more details.
JT-IN