0

Let's say a father buys a moderately decent house for his daughter to live in for college. 4 years later he sells for a profit. Would capital gains taxes come into play given that the house is his daughters primary residence, but not his?

Improve this question

1 Answer 1

Reset to default
3

Would capital gains taxes come into play given that the house is his daughters primary residence, but not his?

Yes. He sold something that was his property, i.e., his [long term] asset. The fact that it was not his primary residence is irrelevant in this regard.

The issue of primary vs. non-primary residence might be relevant only for purposes of computing the applicable credits and/or deductions, but that is very jurisdiction-specific.

Improve this answer

You must log in to answer this question.

Not the answer you're looking for? Browse other questions tagged .