What Happens After 2012

[bassin_bug]

I am selling my house in the mountains on July 30 and think I may have gotten lucky. The following is copied from an email that a member of the National Association of Realtors sent to me. I thought I would share it with you and see what you think.

WILL YOU SELL YOUR HOUSE AFTER 2012?

The National Association of Realtors is all over this and working to get it repealed before it takes effect. But, I am very pleased we aren't the only ones who know about this ploy to steal billions from unsuspecting homeowners. How many Realtors do you think will vote Demoncratic (sic) in 2012? **** few. We vote in almost every election, in greater numbers than average. That, I'm sure, will have some bearing on next year's election. (Michael W, REALTOR)

Will you ever sell your house after 2012?

Call your Democratic Senator's office to confirm this hidden fact about the ObamaCare regulation.

Will you ever sell your house after 2012?

Did you know that if you sell your house after 2012 you will pay a 3.8% sales tax on it?

That's $3,800 on a $100,000 home, etc.

When did this happen?

It's in the health care bill.

Just thought you should know.

SALES TAX GOES INTO EFFECT IN 2013 (Part of HC Bill).

Why 2013?

Could it be to come to light AFTER the 2012 elections?

REAL ESTATE SALES TAX.

So this is "change you can believe in"?

Under the new health care bill all real estate transactions will be subject to a 3.8% Sales Tax.

The bulk of these new taxes don't kick in until 2013. If you sell your $400,000 home, there will be a $15,200 tax.

The bill is set to screw the retiring generation who often downsize their homes.

Does this stuff make your November and 2012 vote more important?

Oh, you weren't aware this was in the ObamaCare bill?

Guess what, you aren't alone.

There are more than a few members of Congress that aren't aware of it either.

http://www.gop.gov/blog/10/04/08/oba...are-taxes-home

[jcb]

This is mostly false info.

There is a 3.8% real estate transaction fee in the bill. But it doesn't kick in unless you're single and plan on capital gains of over $250,000, or married and will net a capital gain of half a million bucks. Know anyone netting that kind of cash in this real estate market?

And the tax would only apply to the amount over those thresholds, not the entire purchase price.

[MrSplitshot]

Yep, it's a tax on capital gains from investments....and above $250K for individuals or $500K for couples.

I'm not taking up for ObamaCare, because I don't believe in this either, but it's not a a sales tax on the selling price of your house. It's a tax on the capital gains realized on the sale of your house, only if above those thresholds.

http://www.snopes.com/politics/taxes/realestate.asp

[HURRICANEBOB]

Got to ask....tongue in cheek of course.

So after 2012, if your house burns to the ground and the insurance pays you for it as unrebuildable, do you still pay the tax?

[kyfanatic]

Got to ask....tongue in cheek of course.

So after 2012, if your house burns to the ground and the insurance pays you for it as unrebuildable, do you still pay the tax?

Not if the WhiteHouse burns down first..........................

[kygorski]

If you CAN sell your house! My son has an A frame three bedroom house, boat slip, and its been on sale for almost three years, that includes two major mark downs.Its on Lake Sinclair, 10 miles from lake Oconee, lot of lookers, no lenders!

[bassin_bug]

I just copied the email as it was written to see what everyone thinks about it. I heard a discussion about the health care bill a while back and the reporter said we will all be surprised at some of the pet projects hidden in it that are yet to be revealed.

The housing market is a lot tougher than a lot of people realize. My sister has had her house on the market for 3 years and has reduced the sale price by about $100,000 and still nothing but lookers.

[HURRICANEBOB]

I just copied the email as it was written to see what everyone thinks about it. I heard a discussion about the health care bill a while back and the reporter said we will all be surprised at some of the pet projects hidden in it that are yet to be revealed.

The housing market is a lot tougher than a lot of people realize. My sister has had her house on the market for 3 years and has reduced the sale price by about $100,000 and still nothing but lookers.

And what amazes me is the builders just keep putting them up. I sympathize with the builders, they got to eat too. And to be fair, in my subdivision where 12 house have been on the market for over 360 days, 2 newly built houses sold within 30 days of completion (they we're build to order. So to some degree, I can see the method in the madness. Why buy a devalued older house, when you can buy a devalued new house with better energy efficiency, a warranty, and new applicances and mechanicals.

I have a KY Real Estate license that's been sitting in moth balls since 2007. Someday, maybe it will be worth paying the dues to go live with it.

[RoadToad]

I thought none of us were going to HAVE houses after 2012?

Sorry, when I read the title of the thread I thought it had to be something about the Mayan calendar.

[kyfanatic]

Don't you all know that the world is going to end on Dec 21,2012?
Personally,I thought it ended on Nov 8th,2008

[kygorski]

The beginning of the end, the trumpet call, nov10th 2000, supreme court elects president!

[HURRICANEBOB]

SEC. 1411. IMPOSITION OF TAX.
(a) IN GENERAL.—Except as provided in subsection (e)—
(1) APPLICATION TO INDIVIDUALS.—In the case of an individual, there is hereby imposed (in addition to any other tax imposed by this subtitle) for each taxable year a tax equal to 3.8 percent of the lesser of—
(A) net investment income for such taxable year, or
(B) the excess (if any) of—
(i) the modified adjusted gross income for such taxable year, over
(ii) the threshold amount.
(2) APPLICATION TO ESTATES AND TRUSTS.—In the case of an estate or trust, there is hereby imposed (in addition to any other tax imposed by this subtitle) for each taxable year a tax of 3.8 percent of the lesser of—
(A) the undistributed net investment income for such taxable year, or
(B) the excess (if any) of—
(i) the adjusted gross income (as defined in section 67(e)) for such taxable year, over
(ii) the dollar amount at which the highest tax bracket in section 1(e) begins for such taxable year.
(b) THRESHOLD AMOUNT.—For purposes of this chapter, the term ‘threshold amount’ means—
(1) in the case of a taxpayer making a joint return under section 6013 or a surviving spouse (as defined in section 2(a)), $250,000,
(2) in the case of a married taxpayer (as defined in section 7703) filing a separate return, 1?2 of the dollar amount determined under paragraph (1), and
(3) in any other case, $200,000

I'm not rich enough to have this problem