Subject: California home sale by an out of state seller
Date: Wed, 29 Jan 2003
Is there special consideration of home sales proceeds for a California home which is owned and subsequently sold by out of state residents?
My friends in this predicament live in Nevada.
They are in the process of selling their "second home".
Date: 5 Feb 2003
A sale of real estate located in California is subject to California income tax and should be reported on a California income tax return. California gives no "break" for long-term capital gains. They are taxed at the same rate as ordinary income - up to 9.3%! In addition, California has enacted withholding at a rate of 3 1/3% of the sales price for the sale of most real estate that applies to both residents and non-residents.
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