In a will to inherit 125 acres of land. Buyer is wanting to buy now. Do I sell now and my kin pays capital gain taxes or wait for inheritance with no taxes?
I am thinking capital gain taxes would be huge..This land has been in the family for a very long time.
USS Intrepid CVS-11 Helicopter Anti Submarine Warfare Squadron-3 1960-1964
When I keep my gratitude higher than my expectations I have a good day
Keep it in the family.Originally Posted by DonnieG
1031 Tax Free exchange for property you may enjoy more. I'm not an attorney or accountant but have stayed in a Holiday Inn Express recently
A shame to see it leave the family. A bunch of good peopled worked to pay taxes on it for future generation. Dont be "that" guy.
I would hold onto it for as long as possible. Value of land will only go up in the future more than likely. You need to understand the development trend in your area so you can maximize your gains/ profits.
This. ^^^^^^
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Without knowing the OPs specific situation, this doesn’t make any sense. He’s trying to understand the tax implications of selling now or waiting not whether he should factor some silly emotional attachment to the property.
If it's not yours yet how are you going to sale it.
Care to explain what is on this "land" and what you and/or the potential buyer wants to do with this land?
The relative that presently owns the land will sell it now and pass the money to me if that is my desire..
USS Intrepid CVS-11 Helicopter Anti Submarine Warfare Squadron-3 1960-1964
When I keep my gratitude higher than my expectations I have a good day
This is partially open farm land with several acres of hardwood trees. My GGF's home was on the land but was destroyed several years ago.
USS Intrepid CVS-11 Helicopter Anti Submarine Warfare Squadron-3 1960-1964
When I keep my gratitude higher than my expectations I have a good day
I remember years ago, my company started this "Tax filing" program that allowed people to bring in their completed tax forms, and we would file the return for them. We would only charge 10% of the return as a fee, and we paid them immediately for their portion of the return. It was a huge success for us, we were making an average of $500 per return, and we filed a BUNCH of them that year. The thing is, people were in such a hurry to get their money, they didn't mind paying that huge fee. All they had to do is mail it in themselves, and wait a few weeks for their check, and they would saved all that money, but it didn't matter to them because they already had big plans to spend the money anyway.
^^^ This is what your original question reminds me of... to me, it's silly to pay all that money in taxes when all you have to do is be patient, but it's your call.
Of course, it sounds to me like that money is burning a hole in your pocket and you won't keep it long anyway, so you might as well go ahead and have him sell it and pay the taxes (penalty).
Ask yourself do i want to keep the land or not, you have options, that hardwood could bring in some $$$, hire a contractor to build houses and make a good profit or as you said just sell now. I would suggest you talk with a cpa about what taxes would be involved if you decide to sale.
It is between you and your family but I sold my mother’s farm and have regretted it ever since. Even though I couldn’t keep it up with the other properties I owned. Sentimental reasons only. I didn’t need to start farming at 60 years old. Also I would have to pay full taxes on it and it would just grow up in weeds. It was a hard decision!
If you have been listening——- a few people want to REALLY stick it to you on capital gains. They want to tax you on any gains from the original purchase price—— they are trying to get this going, along with a higher tax on your 401k
Keep it. Land is one of the things no one is making more of.
Please, please, please...make sure it doesn't end up in the hands of the Chinese, Bill Gates, Warren Buffett and that sort. I'd rather let it sit and go to weeds. That said, a friend bought some land covered with trees and eventually sold the timber, which paid for the house he had built on the property...with some left over.
Don't bother me, I'm screwing for virginity.
I killed a 12-pack just to watch it die.
we have had a million offers on family land, keep as long as possible, ours has been in our family for well over 200+ years. Only during this century has sorry ass politicians attacked land owners with extremely high taxes that I get freaking zero for. It makes land a very expensive asset. We have cattle, if you dont have anything on it that benefits you and your family or lease it for hunting it costs. But I have made promises to keep when all else fails. you can leverage it to make money on other things but not for pleasure, IMO. God dont make any more, make the right choices....
Ron Fears
Stroker/300XS
1E003823
WAIT for inheritance period, govt can not screw you as bad then
Ron Fears
Stroker/300XS
1E003823
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