Your Deduction…Your Choice

Posted Posted in real estate, Taxes

Taxpayers are allowed to decide each year whether to take the standard deduction or to itemize their deduction when filing their personal income tax returns. Roughly, 75% of households with more than $75,000 income and most homeowners itemize their deductions. The 2012 standard deduction, available to all taxpayers, regardless of whether they own a home, […]

The 3.8 Percent Tax

Posted Posted in Annapolis, MD real estate, Anne Arundel County real estate, Chesapeake Bay area real estate, Maryland real estate, Maryland's Eastern Shore real estate, Queen Anne's County real estate, real estate, Talbot County real estate, Taxes

From the National Association of Realtors comes this pamphlet providing examples and answering questions surrounding the 3.8% capital gain tax that goes into effect January 01, 2013 under the Affordable Care Act (Obamacare) that applies to residential real estate transactions.

Gift or Inherit

Posted Posted in Annapolis, MD real estate, Anne Arundel County real estate, Chesapeake Bay area real estate, Maryland real estate, Maryland's Eastern Shore real estate, Queen Anne's County real estate, real estate, Talbot County real estate

Transferring the title of a home from one person to another may seem simple but it could have a significant tax implication. When a person inherits property, the basis is “stepped-up” to fair market value at the time of the decedent’s death. On the other hand, a gift has a carry-over basis which means that […]