Is there a one time capital gains tax excemption. selling mineral rights for land will be getting about $100,000. Can I be excempt from taxes one time, and if not how much will I have to pay. The land is in Ok, but I live in TN

A capital gains tax exemption would only be allowable if the capital gain was from the sale of your primary residence. It doesn’t sound like that is the case from what you are saying. So, if you are required to pay a capital gains tax on the sale of your property in Oklahoma the tax rate on the gain could be as low as 5% or as high as 15% depending on your tax bracket and the length of time you have owned the property. (I’m assuming the date of sale will be in 2011.) If you’ve owned the property for a year or less (short-term capital gains) the tax rate would be higher. It would be lower if you’ve owned it for over a year (long-term capital gains). Also, the lower your tax bracket the lower the capital gains tax. I would recommend you consult a good Certified Public Accountant prior to the sale of the property.

Advertisements
This entry was posted in Real Estate and tagged . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s