Philadelphia Weekly

REAL ESTATE

Most second homes would escape new 3.8 percent tax

High-income sellers most likely to feel pinch in 2013

By Inman News Feed

Add Comment | Comments: 0 | Posted Aug. 1, 2012

"Taxpayers thinking about selling property in 2012 on an installment basis (carrying a contract) may want to elect out of the installment method and recognize all gain in 2012," Keasal said. "They might want to take the cash now rather than have the installment gain in future years be subject to this tax."

The capital gain rate could go up as well. The long-term capital gains rate will remain at 15 percent for 2012, but it could go back up to 20 percent for 2013.

Right now, it's anybody's guess.

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