If you sell something for a profit, you can expect the government to take its cut.
Accountant/blogger Amber, writing at Money Under 30, identifies what sales will and won’t ding you on your tax return. Some highlights from the post:
*You probably won’t have to pay taxes on a home sale. If you lived in the residence for two of the last five years, you can exclude up to $250,000 — or a cool half-mill if you’re married and filing jointly — of the gain from your sale.
*When you sell stock, you’ll be taxed on the gains and can deduct the losses. But just because a stock you own nose-dived doesn’t mean you can write it off. You can deduct up to $3,000 in losses per year on not-so-wise investments.
What are your biggest concerns about next year’s tax return?
Gains & Losses: What Will Be Taxed and What Can I Claim? [MoneyUnder30]