Capital gains tax

P.S. My house is currently close to going into forcosure..... forgot to include that

Hi adamwest,

You will be liable for the capital gains taxes when you make a profit from the sale of the property. If there is no profit, you won't be liable for the capital gains taxes.

Thanks

Thanks for the reply. But I will be able to discharge it under the mortgage debt relief act of 2007, under Principal Residence Exclusion, when i file my taxes, right. ??????

I own a duplex in WV that I lived in half of it for 9 years and then rented out both sides and am wanting to know how much capital gains tax I will have to pay and will it be cheaper if I move back into the house or open the middle and make it one home and live in it for a few years with no renters at all? Will it help with the sale and taxes I pay? What is my best option?

Hi Lori,

A similar query has been replied in this page:
http://www.mortgagefit.com/Budgeting-and-Personal-finance/Will-capital-gains-tax-be-less-if-I-convert-my-duplex-rental-units-to-a-single-dwelling-primary-home.html .

Take a look at it. I hope it will help you.

Thanks