I am a green card holder in the US. I am married to a US Citizen. I have a condo I want to sell in Brazil and pay off a condo I own in the US. From what I have read on your site I can do a money transfer from bank to bank. And I understand I have to report this money but will I have to pay taxes on it when the money gets here? Is it considered income? I think the place will sell for around $200K, US money. I think I read I had to fill out a Schedule D but I am confused because I looked at that form and it implies I have a capital gain and I will pay taxes on that gain. Can you please explain this?

Was the Brazilian condo your primary home? If so, then selling it should have NO tax consequences as you can claim a $500,000 exemption on the capital gain. You do not even have to report it.

If you need professional help, email me at [email protected].

No its not my primary home. I have lived in the US for 5 years and I have a condo in the US. I just never sold the condo in Brazil before I left there.Now I want to sell it since I don't think I will ever live there. So this $500,000 exemption on capital gains that means unless I make over $500,000 on a home or something like it I don't have to pay taxes on it and I can just sell the condo there, put the money in an account in Brazil and transfer it over to my US account and I pay no taxes?

Sorry, but if it is NOT your primary home, then capital gains taxes DO apply. You would report the sale on Schedule D and apply the applicable capital gains tax, which may be as little as 0%, but no greater than 15%.

OK, makes sense. What if I put the money in a bank account in Brazil and just sat on it. Do I report that money on a tax return in that situation. Or do I report no matter what? Thanks for all your info. Very helpful.

OK, makes sense. What if I put the money in a bank account in Brazil and just sat on it. Do I report that money on a tax return in that situation. Or do I report no matter what? Thanks for all your info. Very helpful.

Does not matter WHAT you do with the money; the tax is still due for the tax year in which the condo is sold.

Further, if the capital gain exceeds $10,000, you have a requirement to make an estimated payment during the calendar quarter when the sale was made. You would use Form 1040-ES to make the payment.