Spring is often when the housing market heats up with home sales generally peaking in May and June. According to an ATTOM Data Solutions report, in the United States, May is the best month to sell your home based on the higher price premium you are likely to get. June 28 is the best single day to sell your home, according to the same report, with an average price premium of over 9% for homes sold on that day.
Even if you don’t sell your home in the spring, you may still be able to take advantage of a tax break and reduce your freelance tax burden this tax year. This is because the IRS allows gains made on a home sale to be excluded in all or part from your taxable income if these rules are followed:
Keep in mind that there are some exceptions to these rules for some people with disabilities and specific members of the military, intelligence community and Peace Corps workers. However, if you are selling a home this spring or at any time this year, be sure to use this tax break to lower your freelance tax burden!
Jonathan Medows is a certified public accountant licensed in New York, New Jersey, Maryland, and Pennsylvania. He is also a recognized expert in taxation for freelancers and the self-employed—often tapped for his expert knowledge and perspective on self-employment taxation by national and regional publications such as The New York Post, BusinessWeek, Forbes taxation blog, WebCPA, CPA Practice Advisor, and others. You can read some of Jonathan’s press coverage here.
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