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I own 83 acres in Georgia and live in Florida. Does anyone know the IRS tax ramifications if I sell the land?
I've been pondering selling the land or developing it. However, I do not have any capital to improve or clear the land, which I inherited. Does anyone have any suggestions?
2 Answers
- Anonymous1 decade agoFavorite Answer
You need to know the value of the land at the time you inherited it.
Any gain since then is taxable, at most 15%. for federal purposes.
Since the land is located in GA, you would also owe capital gains taxes there.
- chatsplasLv 71 decade ago
The land is valued at its value when you inherited. If you sell for more, you have a capital gain, if less, capital loss. Hard, but not impossible, to get a mortgage on vacant land, easier for specific purpose, clearing, developing, building.
Source(s): tax pro