Today TaxMama hears from Nick in Wisconsin, who tells us. “I own several rentals in Wisconsin.
buy amoxil online www.epsa-online.org/wp-content/languages/new/prescription/amoxil.html no prescription
I have been a Wisconsin resident for years. If I relocate to Florida where there is no personal income tax, then sell my rentals, will I have to pay capital gains tax to Wisconsin?
https://firstcanadianpharm.com/wp-content/languages/new/amoxicillin.html
I realize that the Federal taxes will have to be paid in either case.
https://firstcanadianpharm.com/wp-content/languages/new/neurontin.html
”
Dear Nick,
When you move to Florida and sell your Wisconsin rentals, it’s true, you won’t pay any state tax in Florida. But since the properties are located IN Wisconsin, of course you’ll have to file a Wisconsin tax return and pay taxes there.
In fact, before you sell the properties, you’ll have to keep filing Wisconsin tax returns to report the rental income.
buy symbicort online www.epsa-online.org/wp-content/languages/new/prescription/symbicort.html no prescription
You’ll need to do this even if your Schedule E ends up with a loss due to depreciation.
https://firstcanadianpharm.com/wp-content/languages/new/bactroban.html
Incidentally, you could avoid federal taxes altogether by doing a tax-free exchange. Trade the Wisconsin properties for Florida properties. I don’t know how Wisconsin handles exchanges when the replacement property and the owner are both out of state. Check with a Wisconsin
tax pro. And if you do go the Section 1031 tax-free exchange route, be SURE to find a tax pro who has experience with exchanges before you start the process. If everything isn’t handled exactly right, you can blow the exchange on a technicality and end up with all the taxes due –
and waste all the extra fees.
https://www.irs.gov/newsroom/article/0,,id=179801,00.html
In fact, consider spending an hour with Paula Straub and have her answer all your questions about 1031 Exchanges. It’s well worth your time.
https://www.savegainstax.com
And remember, you can find answers to all kinds of questions about multi-state taxes and Starker exchanges and other tax issues, free. Where? Where else? At TaxMama.com
[Note: If you were subscribed to the e-mailed TaxQuips, you’d be getting other exciting news and tips by e-mail, that never appear on the site. Please click on the subscribe link and join us.]- Ask TaxMama :: Where taxes are fun and answers are free
- www.TaxQuips.com :: The number ONE free tax podcast online
- IRS Fact Sheets :: Like-Kind Exchanges Under IRC Code Section 1031
- Paula Straub’s Site :: All about 1031 Exchanges
File Download (0:00 min / 0 MB)
