What capital gains laws are there on rental properties?

April 28, 2003

From:  Mike
Date:  Thu, 13 Mar 2003

What are the current laws regarding capital gains on the sale of rental properties (single family house)?



Date:  04 Apr 2003

This is not a short answer question. See Form 4797, Schedule D and the related instructions. It depends on when the property was acquired. There may be ordinary income for depreciation recapture in some cases. In others, the gain up to the amount of accumulated depreciation is taxable at a 25% maximum tax rate. I recommend that you consult with a tax advisor for more details.

Good luck!
Mike Gray

We have more answers to frequently asked real estate tax questions! We also offer up-to-date information about new tax real estate tax developments in Michael Gray, CPA's Real Estate Tax Letter.

IRS Circular 230 Disclosure: As required by U.S. Treasury Regulations, you are hereby advised that any written tax advice contained on this website was not written or intended to be used (and cannot be used) by any taxpayer for the purpose of avoiding penalties that may be imposed under the U.S. Internal Revenue Code.

What capital gains laws are there on rental properties?

Home | Real Estate Taxletter | Articles | FAQ | Introducing Michael Gray, CPA | Need Help? | Other Links

Michael Gray, CPA
2190 Stokes St., Suite 102
San Jose, California 95128-4512
(408) 918-3162
Fax (408) 998-2766
email: mgray@taxtrimmers.com
© 2016
Subscribe to
Michael Gray, CPA's
Real Estate Tax Letter