We have owned 5 acres with a house on it for 20 yrs. We wish to sell 3 acres, what percentage of the sale goes to cap. gains state and fed. in the state of California?
In the event this is your primary residence and you file jointly, the first $500k should be exempt, subject to your CPA's advise, of course...The latest tax legislation from the IRS taxes capital gains at max. of 15% for individuals...your CPA will need to calculate projected state capital gains in CA...your governor is certain to be out there looking for his part...IRS may rule this a fractional sale of personal residence and you'll need some specific research from your CPA, since you'll be left with a residual basis in a primary residence.
In the event this is your primary residence and you file jointly, the first $500k should be exempt, subject to your CPA's advise, of course...The latest tax legislation from the IRS taxes capital gains at max. of 15% for individuals...your CPA will need to calculate projected state capital gains in CA...your governor is certain to be out there looking for his part...IRS may rule this a fractional sale of personal residence and you'll need some specific research from your CPA, since you'll be left with a residual basis in a primary residence.