I condo converted my first home (4 family house). I'm going through a divorce and selling 2 units. I have been living in one unit for 1 year. How can I avoid paying a lot of tax, legally? I have to pay off the mortgage, and then I want to buy a home.
by 
Anonymous
ANSWERS: 2
-
In order to avoid paying a lot of money in taxes, you need to contact (and listen to) either an "Enrolled Agent," a financial consultant ("Business Manager") of some kind, or a CPA, whose expertise is the preparation, reporting and payment of federal and state income taxes. Hire the best person you can find for your situation and pay him/her promptly, because a good one will save you many thousands of dollars per year, and their fees are tax deductible. +5
-
You will pay gain on the 2 units you are selling. Where is the 4th unit? You MAY be able to get a reduced exclusion on the one you have been living in IF you had to sell it because of the divorce. Like Mensan correctly said, you need to find an Enrolled Agent or other tax professional who can guide you thru this mess!
RELATED QUESTIONS
Copyright 2023, Wired Ivy, LLC