As we approach year-end I'm getting a lot of questions again about the 3.8% tax included in the Affordable Healthcare Act (Obamacare). The rumor/concern is that it is a 3.8% tax applying to the sale of every home. NOT TRUE.
There is a 3.8% tax in the measure but it will only apply to upper income earners - those filthy rich folks that have brought our nation to its knees. It is not a sales or transfer tax on your home but will apply to couples earning over $250,000 ($200,000 individual) net, only to the amount over $250,000, or the lesser amount if it is net investment income. You still have your $250,000/$500,000 exclusion for net income from sale of a principle residence as well so while the tax is a pain in the butt, and something most people didn't even know was in the bill, it will impact very few people.
I know a handful of folks that would get dinged by this and you ain't one of them. Sorry.
Click here to find out more at the NAR FAQ.
Click here to find out more at the NAR FAQ.
Comments(0)