real estate investing

Episode #21 | 1031 Exchanges & Capital Gains

Episode #21 | 1031 Exchanges & Capital Gains

Capital Gains Tax:

Capital gains tax is a levy assessed on the positive difference between the sale price of the asset and its original purchase price. Long-term capital gains tax is a levy on the profits from the sale of assets held for more than a year. The rates are 0%, 15%, or 20%, depending on your tax bracket. Short-term capital gains tax applies to assets held for a year or less, and is taxed as ordinary income.