4 - Real Estate Taxation

4 - Real Estate Taxation - Oct 4 2011 Chapter 4 Real...

Info iconThis preview shows pages 1–6. Sign up to view the full content.

View Full Document Right Arrow Icon
Oct 4, 2011 Chapter 4 - Real Property Tax - Robert Rooks 1
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Oct 4, 2011 Chapter 4 - Real Property Tax - Robert Rooks 2 Real Estate Taxation Real estate and taxes are inherently intertwined. Taxes affect real estate and real estate values in at least three ways. From the standpoint of tax savings against other active income. (Depreciation) From the standpoint of real property taxes, an expense, that is normally deductible from active income. From the standpoint of taxable gain upon the sale of the real estate.
Background image of page 2
Oct 4, 2011 Chapter 4 - Real Property Tax - Robert Rooks 3 Classifications for Taxation Real estate has different tax preferences depending on the way the real estate is used, and whether or not there are improvements on the property. The personal residence is entitled to some tax benefits. Income or Business property is entitled to most of the tax benefits of personal residence property, and is privileged to other tax advantages as well.
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Oct 4, 2011 Chapter 4 - Real Property Tax - Robert Rooks 4 Personal Residence. The personal residence has two periods in time when taxes come into play; 1. During the ownership. a. Property taxes are deductible b. Interest on loans are deductible c. Gains from the sale may be taxable d. Method of holding title can be critical. 2. Upon the sale of the property. a. During certain time periods. b. Amount of gain.
Background image of page 4
Oct 4, 2011 Chapter 4 - Real Property Tax - Robert Rooks 5 Personal Residence Page 2 During the ownership we have property taxes. Property taxes in California are based on 1% of the
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 6
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 10/04/2011 for the course REAL ESTAT 14A taught by Professor Robertrooks during the Spring '04 term at El Camino.

Page1 / 18

4 - Real Estate Taxation - Oct 4 2011 Chapter 4 Real...

This preview shows document pages 1 - 6. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online