I'm in the process of closing on a house I've owned for a year, which is a second home. I'm wondering if the new capital gains tax laws will apply to this home sale and if I may be able to have a 0% tax rate since I will make $44K or less from my regular income. Additionally, I purchased the home for $65,000, invested roughly $20K, and there will be $16K in realty fees at closing. The sale price should be $274,900. I'm being told my capital gains will be roughly $173,900. The house has just sat for a year, no rental history while I owned it. Are there any deductions that could be used to reduce the gain?

May 1st, 2024

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