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CALCULATING CAPITAL GAIN (#4)
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"ANALYZE THE BENEFITS OF AN EXCHANGE
BEFORE YOUR SELL"
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| 1. CALCULATE NET ADJUSTED BASIS |
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Original Purchase Price
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__________
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+ Improvements |
__________ |
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- Depreciation |
__________ |
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= NET ADJUSTED BASIS |
__________ |
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| 2. CALCULATE CAPITAL GAIN |
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Sales Price |
__________ |
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- Net Adjusted Basis |
__________ |
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- Cost of Sale |
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= CAPITAL GAIN |
__________ |
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| 3. CALCULATE CAPITAL GAIN TAX DUE |
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Recaptured Depreciation (25% ) |
__________ |
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+ Federal Capital Gain (15% or 20% or 28%) |
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+ Medicare Surtax (3.8%) |
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+ State Tax (when applicable) |
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= TOTAL TAX DUE |
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| 4. ANALYZE PURCHASE-NO EXCHANGE |
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Sales Price |
__________ |
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- Cost of Sale |
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- Loan Balances |
__________ |
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= GROSS EQUITY |
__________ |
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- Capital Gain Taxes Due |
__________ |
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= NET EQUITY |
__________ |
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Net Equity X 4 = |
__________ |
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| 5. ANALYZE PURCHASE-EXCHANGE |
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Capital Gain Taxes Due |
__________ |
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Gross Equity = Net Equity |
__________ |
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Gross Equity x 4 = |
__________ |
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