Sold Home
“I am selling my house and the buyer is paying all of my closing costs, does this arrangement artificially increase my taxable capital gains profit?”
When a home is sold and the buyer pays closing costs, the tax treatment often depends on how those costs are characterized and how they are reflected on the settlement statement. In many cases, the key factors are whether the expenses are treated as selling costs, whether they reduce the amount realized from the sale, and how the final numbers appear on the closing documents. The overall gain calculation can also be affected by the home’s basis, any improvements made over time, and whether the property was a primary residence or another type of holding. Sitting down with a CPA for thirty minutes is usually enough to draw a clean line on this.
In your 90-minute session, the KGOB advisor handling it will:
- Read your exact situation and tell you, in plain English, what’s actually going on.
- Lay out your options and the trade-offs — no jargon, no judgment.
- Give you a clear next step you can act on, whether that’s with us or on your own.
“I sold my primary home for a massive profit after living in it for exactly three years, how do I formally claim the capital gains exclusion on my tax return?”
“I made hundreds of thousands of dollars in massive home improvements over the years, how do I add these costs to my basis to lower my capital gains tax?”
“I received a 1099-S from the title company after selling my house, do I still have to report the sale to the IRS if all the profit is totally tax-free?”
“I am a military member and deployed overseas for three years, does the IRS suspend the five-year ownership test for the home sale exclusion while I am away?”
This page is a prompt to start a conversation, not tax or legal advice, and states no tax-law specifics as fact. A consult session does not by itself create an ongoing engagement. We do not promise specific outcomes or savings. Kohari Gonzalez Oneyear & Brown PLLC — Charlotte, NC.
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