Legislation included in the 1997 federal budget made significant changes that improve a homeowner's ability to profit from the sale of real estate. The capital gains tax exclusions on the sale of a principal residence is just one of several benefits for homeowners. When you sell a home you have owned and use for two of the five years prior to the sale, married couples are allowed to keep up to $500,000 in tax-free profits and taxpayers filing as singles can keep up to $250,000 before paying capital gains tax.

Long-term capital gain is also taxed at lower rates as a result of the Jobs and Growth Tax Relief Reconciliation Act passed in 2003. The maximum capital gains tax rates dropped from 20% to 15% and from 10% to 5%, effective for sales and exchanges taking place on or after May 6, 2003 and through December 31, 2007. In 2008 the 15% rate continues for higher income taxpayers, while the 5% rate for lower income taxpayers drops to 0%, but only for the 2008 tax year. On January 1, 2009, the 10% and 20% rates will be reinstated.

Consult your tax advisor for advice regarding your particular circumstance.

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Marlene Ginsberg
Coldwell Banker Residential Brokerage
2200 Route 10 West
Parsippany, NJ 07054
Direct: 973-290-7903
Office: 973-267-3030 x 112
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Marlene has lived in Morris County for over 30 years and has been an active licensed real estate professional for over 20 years.... She has generated over $140 MM in real estate sales while successfully helping hundreds of families move. A perennial multi-million dollar producer (Gold Level - $15 MM in annual sales), Marlene has been a member of the prestigious Coldwell Bankers International President's Elite, which recognizes the top 1% of the company for the last six years. Marlene received an award for being #1 IN CUSTOMER SERVICE and is ranked among the top 50 out of 3500 Coldwell Banker agents in New Jersey year in and year out. As your NUMBER1EXPERTTM for the Randolph, Parsippany, Denville and Morristown/Morris Township areas of Morris County, Marlene heads a team of real estate professionals that are very well equipped to provide you the finest service for all your real estate needs. Put her and her entire team to work for you! Call or email Marlene today!

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