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A comment on We are publishing the tax secrets of the .001%. Parent comment

Re:We are publishing the tax secrets of the .001% by mciancia on Tuesday June 08, 2021 @11:51AM (#27436771)
Hm, but income from rental is also taxed, isn't it? If so, how does it help?
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Re:We are publishing the tax secrets of the .001% by jedberg on Tuesday June 08, 2021 @11:52AM (#27436785)
The income from the rental is taxed, but slowly over decades. You don't have to take that entire tax hit in one year.
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Re:We are publishing the tax secrets of the .001% by notahacker on Tuesday June 08, 2021 @12:09PM (#27437056)
Also, people buying rental property from cash they earned from wages or selling their business pay tax on the wages/gains and the rental income, not just the latter...
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Re:We are publishing the tax secrets of the .001% by alex_young on Tuesday June 08, 2021 @11:54AM (#27436809)
You can also sell it and take the gains tax free in many cases.
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Re:We are publishing the tax secrets of the .001% by MR4D on Tuesday June 08, 2021 @12:54PM (#27437683)
Short of a 1031 exchange, I'm not sure how you would do that.
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Re:We are publishing the tax secrets of the .001% by alex_young on Tuesday June 08, 2021 @05:19PM (#27440995)
You can sell a house every 2 years and write off up to $500k in capital gains as long as it’s been your primary residence for 2 of the last 5 years. Doesn’t need to be consecutive.
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Re:We are publishing the tax secrets of the .001% by MR4D on Wednesday June 09, 2021 @07:12AM (#27446561)
Sure, but you have to stomach the 6% commission you’re paying to the brokers, which really limits this situation to transitory market conditions instead of a get rich quick strategy.
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