GA tax question


#1

ok so does anyone in GA know if i become a retail broker/dealer what

are the taxes?

for example i buy a MH for 2k and sell for 5k

paper gain is 3k -is that taxed at fed rate 28% as income or 15% cap gain

and im sure GA wants something out of it as well

it just seems like the tax thing has got me reconsidering the whole plan

and what if the buyer gives you back the property that youve already paid tax on say 6 months down the road

can you claim that on the next years taxes or what?

would appreciate any help!

thanks

ray


#2

The best way to get around the whole tax issue it lease/option the homes. Any option consideration (down payment) collected is not taxed until the option expires (they give you back the home) or is exercised.

Lease payments are considered normal income and will be offset by your expenses.

As far as the tax rate, it depends on the entity type you have setup for your business.

Steve