Profile picture for rjmataya

are the sellers concession tax deductable against the gain on the property

  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 16 2013 - Pittsburgh
We think we've answered this question for you!
  • Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.
 
 

Answers (12)

- I've also found that many of the folks at the tax prep shops were unable to correctly identify other-than-ordinary situations

I wonder where they get their information . . .


  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 17 2013
Profile picture for wetdawgs
Well said SoCal.  I only have one thumb at my disposal, otherwise I'd give you a dozen.

  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 17 2013
Profile picture for SoCal_Engr
"But, we insist on advising them anyway .  . ."

Hey, you do your thing, I'll do mine. Live and let live. Or, sell and let others kibitz.
 
Is anything I posted incorrect? If so, please point it out, and then we can all be just a little-bit-better-informed.

As for IRS assistance, I'd rather have the information...undiluted.

I've also found that many of the folks at the tax prep shops were unable to correctly identify other-than-ordinary situations (mine had to do with rolled-over investment deductions), so I quit wasting time there.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 17 2013
Profile picture for hpvanc
Here is a link to the IRS assistance page. If the concession was a Mercedes (or similar) I suggest you talk to a CPA and then verify it with the IRS, you are fully responsible for understanding what file, whether you use a CPA for convenience or not.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 17 2013
But, we insist on advising them anyway .  . .
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 17 2013
Profile picture for SoCal_Engr
"Since we do not know if the seller concession was a Mercedes or seller assist it's hard to even answer."

Actually, the nature of the concession is not as big an issue as if the costs are directly attributable to the effort to sell, and if the costs are properly/adequately documented. And, fortunately, the IRS does do a decent job of posting information...even if it takes a bit to wade through.

But, I do agree that folks would be advised to do their own research and not blindly rely on anything they glean off public forums - irrespective of topic and "reliability of source". "But, they said it was okay" should never be one's "go to" argument.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 17 2013
Yes, yes, yes, sisters.

There are a lot of things we can help with on these boards, and tax advice is not one of them!
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 17 2013
Profile picture for SoCal_Engr
Here is the IRS info on how to figure gains/losses. Note that there is an overarching exemption on gains from selling a primary residence that may make your question moot ($250K exclusion for single filers, $500K for married filing jointly).
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 17 2013
@Mack

Since we do not know if the seller concession was a Mercedes or seller assist it's hard to even answer.

The most common concession is seller assist.  The seller can't deduct it twice.  It's already deducted from the sellers side on the HUD1.

I agree with you about advice on Zillow.  There are several threads where non-professionals are offering legal advice.

But as far as using Zillow as a defense - it worked using Turbo Tax as a defense. LOL
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 17 2013
Well, here's the thing. If the IRS audits you, it isn't a good defense to say, "They told me on Zillow that it was deductible . . . "
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 16 2013
What are you calling a seller concession?  If you are referring to seller assist that is money you did not receive.  It is money the buyer added to the price they paid you so they could finance their closing costs.  While the sale may be recorded at the higher amount - that money was deducted from you on the HUD1.

  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 16 2013
You will want to talk to your tax accountant regarding your specific circumstances.  In general closing costs are considered when calculating the gain or loss on a sale.  Whether they will affect your tax liability depends on other circumstances including whether the property was used for investment or personal purposes, and whether you qualify for a capital gains exclusion.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 16 2013
 
Related Questions
Why can I not sell when it's priced way below market and has new roof and updated utilities.
Profile picture for Pasadenan
Latest answer by Pasadenan
February 13 | 11 answers
are the sellers concession tax deductable against the gain on the property
Profile picture for Mack McCoy
Latest answer by Mack McCoy
November 17 2013 | 12 answers
how do I list my home on Zillow
Profile picture for Josh Barnett
Latest answer by Josh Barnett
August 12 2013 | 2 answers
Be A Good Neighbor

Zillow Advice depends on each member to keep it a safe, fun, and positive place. If you see abuse, flag it. More on our Good Neighbor Policy.

Homes for Sale
  1. 106 Wynoka St, Pittsburgh, PA Home For Sale
    106 Wynoka St, Pittsburgh, PA 15210

     For Sale: $31,500

    • Beds: 4
    • Sqft: 2208
    • Baths: 3.0
    • Lot: 5372
  2. 32 Brahm St, Pittsburgh, PA Home For Sale
    32 Brahm St, Pittsburgh, PA 15212

     For Sale: $49,999

    • Beds: 2
    • Sqft: 1714
    • Baths: 1.0
    • Lot: 3220
  3. 229 E Garden Rd, Pittsburgh, PA Home For Sale
    229 E Garden Rd, Pittsburgh, PA 15227

     For Sale: $60,000

    • Beds: 2
    • Sqft: 950
    • Baths: 1.0
    • Lot: 2568