Legal Question in Real Estate Law in California

Capital gains

What is the capital gains tax rate for Federal and then also California Stae tax?

I have owned the property for over 10 years but sold one property May 2003 aqnd got the $250,000 exemption on it after living there 2 years and owning it for 25.

Can I take the exemption on this property that I lived in for 12 years before May of 91?

I will have lived in that property only ONE year at of the last 5, can I get a partial deduction?


Asked on 1/04/05, 2:47 am

1 Answer from Attorneys
Ken Koenen Koenen & Tokunaga, P.C.

Re: Capital gains

First of all, you can only take the $250K exemption once every 2 years. So one of the criteria is that you must waid 2 years since the last sale to take the exemption again. The other question, regarding a partial exemption, is that you can take the partial only if the sale is related to a change in employment, a medical problem requiring you to move, or some other major event that requires you to sell. However, you cannot even do that unless you have gone 2 years since the last sale.

Cap gains rate for Fed is 15%, and about 9% for the state.

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Answered on 1/04/05, 3:40 pm


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