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    GreenV's Avatar
    GreenV Posts: 1, Reputation: 1
    New Member
    		  
    #1

    May 11, 2009, 10:14 AM
    Foreign Real State and Taxes
    On July 2006, I bought a vacation home in the Dominican Republic, used it as vacation home for a few seasons but it did not work out for me and the family and therefore sold it on March 2009. Total capital gain was $50K

    What taxes are owed to the US GOV on this property?
    Do I have to complete the FBAR form TD F 90-22.1?

    Thanks for your help on any light you can shed for me.

    GreenV
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #2

    May 11, 2009, 11:09 AM
    You probably will have to complete the FBAR Form TD F 90-22.1.

    You have to report the sale of the vacation home on Schedule D and pay capital gains taxes on the $50,000 capital gain.
    IntlTax's Avatar
    IntlTax Posts: 831, Reputation: 23
    Tax Expert
    		  
    #3

    Jun 12, 2009, 07:41 PM

    The maximum federal tax rate on the gain will be 15%. You may also owe state income taxes on the gain.
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