selling a rental house -tax question - Posted by Steve

import · February 19, 2006, 4:54pm

Posted by David Krulac on February 19, 2006 at 22:26:27:

proably either or. expense within 90 days of sale can be deducted against the sale price. Presuming this is long term, over 365 days, then the Federal rate on the sale profits will max at 15%, whereas the deduction against rents will be ordinary income, which Federal can be 35%. Now which deduction do you think is more valuable a 15% deduction or a 35% deduction?

import · February 19, 2006, 4:54pm

Posted by Steve on February 19, 2006 at 17:54:34:

I am selling a rental house this Feb. 2006 that I stopped renting in August 2005.
Since the tenanats left I had the house painted, new carpet, repairs + upgrades etc. in 2005 getting it ready to sell.
Question: Do those expenses go against the sale of the house in 2006? or can I subtract them from my 2005 returns as I normally would in prev. years as expenses, depreciation etc.?

Thanks
Steve