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You may be able to by taking advantage of legal exemptions. You can make it your principal residence before selling, you can incorporate your rental property business, move your earnings to a tax shelter, or you can try carrying forward your losses from previous years to offset capital gains.
Unlike the federal government, Pennsylvania makes no distinction between short-term and long-term capital gains ? or even between capital gains and ordinary income. Instead, it taxes all capital gains as ordinary income, using the same rates and brackets as the regular state income tax.
Capital losses may be used to offset capital gains. If the losses exceed the gains, up to $3,000 of those losses may be used to offset the taxes on other kinds of income.
--Unless otherwise provided in the bylaws, a majority of the directors in office of a business corporation shall be necessary to constitute a quorum for the transaction of business, and the acts of a majority of the directors present and voting at a meeting at which a quorum is present shall be the acts of the board of ...
Use the Internal Revenue Service (IRS) primary residence exclusion, if you qualify. For single taxpayers, you may exclude up to $250,000 of the capital gains, and for married taxpayers filing jointly, you may exclude up to $500,000 of the capital gains (certain restrictions apply).1.
That's where your tax accountant can help you understand your actual bottom line. There are two capital gain tax rates to be aware of, Federal and State. The Federal rate is based on your tax bracket and depending on your income can be either 15% or 20%. Pennsylvania has an additional 3.07% (2022).
You pay tax on only 50% of your capital gains. The amount of tax payable depends on a number of factors, including your total income and your place of residence. A few things are exempt from capital gains tax, including your principal residence.