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How is the gain taxed if you own a principle residence property jointly with your brother and sell it at a profit before and after two years?
Wiki User
∙ 17y ago
Assuming that it is the principal residence for BOTH you AND your brother, and that you both lived in the house for the same period of time...the same rules would apply to both of you. In order for gain to be excludible from income for Federal income tax purposes, it must have been your principal residence for at least 2 of the last 5 years. If it was your pirncipal residence for less than 2 years, none of the gain is excluded from tax. If it was your principal residence for more than 5 years, up to $250,000 (or $500,000, if you're married) is excludable from Federal income tax. If the house was your principal residence for between 2 and 5 years, the amount of gain excluded is pro-rated. Of course this assumes that you have gain. You likely know the answer to this already, but make sure that you know what your actual basis in the house is. Take into account improvements.
Wiki User
∙ 17y ago
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How do you file your income tax married jointly?
You can file your federal taxes jointly if you are married. Even if your spouse is unemployed, filing jointly means he or she is still responsible for any outstanding taxes due should you not pay.
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If all property was jointly owned then ownership automatically passed to the surviving spouse. There is no need to open an estate proceeding.
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There is no time limit. If you are married during the tax year, you can file jointly.
Do you have to file jointly if married for four months?
No, just because you get married does not mean you have to file jointly. You can always file separately. Hope this helped.
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Can executor use monies from decedent's estate to pay property taxesinsurance on a residence jointly owned by some but not all of the heirs to the estate without prior consent of the heirs?
Assuming that the decedent's Will does not provide otherwise, and assuming that the decedent was liable for the taxes and insurance, or assuming that the residence is included in the decedent's estate, then yes.
Can I refinance a jointly owned home without the consent or signature of the other person who jointly owns the property and is also on the deed?
You can only encumber your own interest in the property. You cannot affect the co-tenant's interest in the property without their consent.
What if you destroy property during the marriage?
If it is marital property it is jointly owned and either party can do with it what they like. If it was separate property you are liable for the damages.
Why would a spouse be considered a secondary owner of real estate property?
Either because they jointly participated in the purchase or jointly obtained a loan on the home, or because the home is located in a community property state.
Is there an one-time exemption from paying capital gain when selling a home?
There is no one-time exemption. But there is an exemption you can take as often as every two years. If you owned the house for two of the last five years and the house was your principle residence for two of the five years, there is a $250,000 exemption. If you file jointly and the house was also your spouse's principle residence for two of the previous five years, there is a $500,000 exemption. If you move for reasons beyond your control without meeting the time requirements, you may qualify for a reduced exemption.
When a brother and sister own a house jointly is it possible to transfer my half to my partner?
Yes. You can convey your interest in the property to your partner. However, you should seek the advice of an attorney to discuss your options and the consequences as to the tenancy that will be created by a transfer.
Investment Property?
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Yes, the IRS can seize a jointly owned vehicle if one of the co-owners owes taxes. They have the authority to enforce tax collection by levying assets, including jointly owned property.
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Generally, jointly held property passes automatically to the surviving joint owner. It does not become a probate asset so it is not exposed to creditors. However, the situation changes if the creditor attached the property prior to the death of the debtor. Creditors can attach jointly held property while the debtor is living but if a creditor fails to attach prior to the death of the debtor then the property passes to the surviving joint tenant and the creditor is out of luck.
Does Florida allow seizure of joint property in civil cases?
In Florida - except for a homesteaded residence, nothing is safe from seizure from a court order or bankruptcy. Even jointly owned assets may be seized and sold. Half of the proceeds from the sale or liquidation will then be retruned to the non-involved spouse.
