Posted by Max-Va on September 16, 2006 at 21:41:47:
It is taxable income and taxed at your tax rate.
See a CPA for more details
Can I keep all the money? - Posted by Bradley Jr.
Posted by Bradley Jr. on September 16, 2006 at 08:59:02:
HI everyone. I’m new to this whole real estate flipping game and there are a few things that I still don’t quite understand. After flipping a house, do I get to keep all the profit that I make on the house? Are there special taxes that I have to claim? Thanks for your help. Brad Jr.
1031 available - Posted by John Merchant
Posted by John Merchant on September 19, 2006 at 19:49:40:
If you’re making a substantial (taxable) profit, you could use 1031 procedure to defer your gain into another property.
This has to be done and covered in your sales docs, can’t be after-thought, so it’s worth figuring and planning it before you sell.
Any experienced 1031 “facilitator” company could give you details and explain procedures.