How to use estate tax rules to avoid income tax

Want to create a tax-shelter that eliminates capital gains, recapture taxes, and gives your heirs a nice tax break?

All you have to do is die.

Oh, I know you may not want to rush to take advantage of this extreme tax strategy but you should know that keeping your home until death has distinct advantages. At death, your estate avoids both capital gains and recapture taxes, and passes the home to your heirs at a fair-market value, stepped-up basis. And that’s just for starters.

To get the whole story, read my new, complete article titled Tax Tips: Use the Estate Tax Value to Avoid Federal Income Tax on Home.

Three ways our fact-filled article can help you:

1. We’ll explain the smart way to handle capital gains on the sale of your home. You can exclude a LOT of money from the capital gains tax if you owned your home and used it as your principal residence for two of the five years before its sale. You’ll get the details and more when you read the full article.
2. We’ll tell you how to beat the “recapture tax.” To the extent of the gain on the sale of your home, you pay a recapture tax of up to 25% on business depreciation claimed after May 6, 1997. But if you die while you own the home, you can make the tax on your previously claimed depreciation-deductions disappear! Money-saving information is waiting for you when you read the full article.
3. We’ll explain how the law treats your home for estate tax purposes. There are three vitally important estate tax facts you and your heirs should be aware of. We’ll list them and explain them to you clearly and simply when you read the full article.