The New Real Estate Tax and How it Affects YOU
Effective January 1, 2013, Uncle Sam may have an extra bill for you to pay. Do you have adjusted gross income (AGI) that exceeds $200,000 ($250,000 as a couple filing a joint return)? If you answered “yes,” your income will be taxed an additional 3.8% on the lesser of your investment income or any income over the AGI cap mentioned above.
There are many different situations this so-called “medicare” tax will affect, including the sale of investment property and rental income, so knowing exactly how it affects you as an investor is imperative. Visit “The 3.8% Tax; Real Estate Scenarios & Examples” for more on how it may affect you and your livelihood and check with your tax professional for more.
Interested in buying or selling your investment property? Call Commercial Investment Strategies, your expert in multifamily real estate and exchanges.