3% Real Estate Tax - Rumor or Fact?
As a realtor, I have had several people ask me about the "new" real estate tax of 3% that is soon to go into effect. Many people have received an email saying that as part of Obama's Health Care Bill, home-owners will now have to pay a 3% sales tax on the sale of their homes. This has many very concerned.
Well, most of the public can rest easy. The proposed law actually states that a 3.8% tax will be charged after the first $250,000 profit on a sale of a home. In the case of a married couple, sellers would have to profit more than $500,000 on the sale of their home in order to be taxed. So, if you are an individual seller who will make less than $250,000 profit on the sale of your home, or a married couple who will make less than $500,000 profit on the sale of your home, then you will not need to sweat this new law.