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Post by Jeannette on Apr 29, 2021 10:20:43 GMT -5
So you only pay tax on the profit? We have to pay on the whole amount. Correct and we usually don't pay taxes on the profit, either. What Stan said.
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Post by martycanuck on Apr 29, 2021 12:00:00 GMT -5
What level of taxes do you have to pay when you buy or sell a property where you live? In England, we pay just 3% of the sale price, if it's below £250k, but you won't get much for that price. Between £250k & £925k it's 8%, which probably covers the vast majority of houses. £925k to £1.5m it's 13%, and over that they pay 15%. That's an awful lot if you move house regularly or buy and sell property as an investor. Hi Malc, Federally Canadians do not pay any capital gains tax on their principal residence, at least for now. Lots of speculation that will change as a means to pay the bills on Covid. Likewise if you sell a second property that you bought you only pay capital gains tax on the differential of what you paid (plus any added value - i.e. Spent a bunch of money updating or renovating) and what you sold it for. So if you bought a 2nd property for $500K, spent $50K improving/maintaining it (maintaining would be things like a new roof, repairs/updates to mechanical systems) and sold it for $700k you profit is $150K. In Canada you pay tax on 50% of the profit based on your personal income tax rate. In Ontario there are provincial land transfer taxes on any real estate sale and having not moved in 14 years I don’t recall what the rate is but it’s not enormous.
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mank
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Post by mank on Apr 29, 2021 12:15:21 GMT -5
So you only pay tax on the profit? We have to pay on the whole amount. Correct and we usually don't pay taxes on the profit, either. As with anything involving the government it is convoluted. It all depends on how much profit you make on when you sell your house. I believe there are limits if single you can make $250,000 profit and not pay taxes, and married filing jointly $500,000 profit. But, as a smart home owner you can deduct ANY improvement you have made to your home as long as you have owned your home. As I have mentioned I live in the Pittsburgh area in Pennsylvania. 21 years ago my house cost $270,000. Today if I sold my home it would sell in the range of $480,000 to $500,000. Pittsburgh has one of the lowest costs of living in the USA. My 5 bedroom home would be much more expensive anywhere else, but I digress. Let's assume I sell my house for $500,000. I would have made a profit of $230,000. But, I have kept a record of all the improvements to my home in those 21 years, new furnace (last year), ceiling fans in every room, new kitchen, new energy efficient hot water heater, whole house water softener filter, new sinks, new toilets, new lifetime metal roof, two new garage door openers,new garage doors, finished basement with a full bathroom, new windows, new composite concrete mixed with vinyl siding, new installation of a garden window, etc., etc. That is all I can think of off the top of my head. Since I have saved all receipts, contracts, etc., from the work, all of that is deducted from my profits when I sell my house. As you can see I more than likely have covered my theoretical profit of $230,000 and would not owe any tax. Of course, I most likely wouldn't owe any tax since I don't meet the $500k profit but I am not taking any chances. The government always wants more and more money in taxes so the allowable profit margin could change. Bottom line any home owner here should keep records of anything they do to their home.
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MalcolmR
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Post by MalcolmR on Apr 29, 2021 12:26:19 GMT -5
That's the difference over here. It is nothing to do with profits, it is sheer purchase price. If you buy a house for £500,000 you would pay 3% on first 250, 8% on the other 250 = £27,500
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frodi
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Post by frodi on Apr 29, 2021 15:29:12 GMT -5
It's absolutely mind boggling here. Certain residential properties are exempt. Mainly new builds for first time buyers. 2nd hand houses are 1% stamp duty up to first €1m and 2% for excess. Non-residential eg apartments as investments are 7.5% stamp duty. Your primary residence is exempt capital gains tax but anything else is subject to 33% CGT. (ie tax on any profit after reasonable expenses.) No sale or transfer can be registered until the tax man issues a clearance cert.
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Post by martycanuck on Apr 29, 2021 19:55:44 GMT -5
Correct and we usually don't pay taxes on the profit, either. As with anything involving the government it is convoluted. It all depends on how much profit you make on when you sell your house. I believe there are limits if single you can make $250,000 profit and not pay taxes, and married filing jointly $500,000 profit. But, as a smart home owner you can deduct ANY improvement you have made to your home as long as you have owned your home. As I have mentioned I live in the Pittsburgh area in Pennsylvania. 21 years ago my house cost $270,000. Today if I sold my home it would sell in the range of $480,000 to $500,000. Pittsburgh has one of the lowest costs of living in the USA. My 5 bedroom home would be much more expensive anywhere else, but I digress. Let's assume I sell my house for $500,000. I would have made a profit of $230,000. But, I have kept a record of all the improvements to my home in those 21 years, new furnace (last year), ceiling fans in every room, new kitchen, new energy efficient hot water heater, whole house water softener filter, new sinks, new toilets, new lifetime metal roof, two new garage door openers,new garage doors, finished basement with a full bathroom, new windows, new composite concrete mixed with vinyl siding, new installation of a garden window, etc., etc. That is all I can think of off the top of my head. Since I have saved all receipts, contracts, etc., from the work, all of that is deducted from my profits when I sell my house. As you can see I more than likely have covered my theoretical profit of $230,000 and would not owe any tax. Of course, I most likely wouldn't owe any tax since I don't meet the $500k profit but I am not taking any chances. The government always wants more and more money in taxes so the allowable profit margin could change. Bottom line any home owner here should keep records of anything they do to their home. The market in Pittsburgh is that soft? 14 years ago we paid $416K for our house. 2 weeks ago a similar house on our street sold for $1.135 Million.
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Post by martycanuck on Apr 29, 2021 19:56:24 GMT -5
That's the difference over here. It is nothing to do with profits, it is sheer purchase price. If you buy a house for £500,000 you would pay 3% on first 250, 8% on the other 250 = £27,500 So that is more like a land transfer tax, not an income tax.
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mank
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Post by mank on May 3, 2021 7:48:24 GMT -5
As with anything involving the government it is convoluted. It all depends on how much profit you make on when you sell your house. I believe there are limits if single you can make $250,000 profit and not pay taxes, and married filing jointly $500,000 profit. But, as a smart home owner you can deduct ANY improvement you have made to your home as long as you have owned your home. As I have mentioned I live in the Pittsburgh area in Pennsylvania. 21 years ago my house cost $270,000. Today if I sold my home it would sell in the range of $480,000 to $500,000. Pittsburgh has one of the lowest costs of living in the USA. My 5 bedroom home would be much more expensive anywhere else, but I digress. Let's assume I sell my house for $500,000. I would have made a profit of $230,000. But, I have kept a record of all the improvements to my home in those 21 years, new furnace (last year), ceiling fans in every room, new kitchen, new energy efficient hot water heater, whole house water softener filter, new sinks, new toilets, new lifetime metal roof, two new garage door openers, new garage doors, finished basement with a full bathroom, new windows, new composite concrete mixed with vinyl siding, new installation of a garden window, etc., etc. That is all I can think of off the top of my head. Since I have saved all receipts, contracts, etc., from the work, all of that is deducted from my profits when I sell my house. As you can see I more than likely have covered my theoretical profit of $230,000 and would not owe any tax. Of course, I most likely wouldn't owe any tax since I don't meet the $500k profit but I am not taking any chances. The government always wants more and more money in taxes so the allowable profit margin could change. Bottom line any home owner here should keep records of anything they do to their home. The market in Pittsburgh is that soft? 14 years ago we paid $416K for our house. 2 weeks ago a similar house on our street sold for $1.135 Million. Pittsburgh has always been considered one of the best places to live in America. Our cost of living is much lower than almost anywhere else in the country. The average cost of a home in Pittsburgh is around $200,000. Pittsburgh is a great place to live. If you live in the city proper you will pay 3% income tax. If you live in the suburbs it is 1%. The taxes here are a bit higher I think especially on gasoline but the overall cost to live in Pittsburgh is generally substantially lower thus houses are lower too. My house is over 3600 square feet and that doesn't count my finished basement with a full bathroom and another bedroom downstairs. My basement is the same foot print as my first floor so that would be another 1800 square feet or a home with 5400 square feet. In other words you get a lot of bang for your buck in Pittsburgh PA.
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Post by martycanuck on May 3, 2021 11:28:08 GMT -5
The market in Pittsburgh is that soft? 14 years ago we paid $416K for our house. 2 weeks ago a similar house on our street sold for $1.135 Million. Pittsburgh has always been considered one of the best places to live in America. Our cost of living is much lower than almost anywhere else in the country. The average cost of a home in Pittsburgh is around $200,000. Pittsburgh is a great place to live. If you live in the city proper you will pay 3% income tax. If you live in the suburbs it is 1%. The taxes here are a bit higher I think especially on gasoline but the overall cost to live in Pittsburgh is generally substantially lower thus houses are lower too. My house is over 3600 square feet and that doesn't count my finished basement with a full bathroom and another bedroom downstairs. My basement is the same foot print as my first floor so that would be another 1800 square feet or a home with 5400 square feet. In other words you get a lot of bang for your buck in Pittsburgh PA. Cost of living sounds great but I’m also pretty good with my 3,000 sq. Ft house (no finished basement) tripling in value for the 14 years I’ve owned it. And those are tax free dollars because it is my principal residence.
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Jim
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Post by Jim on May 3, 2021 16:44:38 GMT -5
My house is 1400sqft and it's too fucking big. I don't even use most of the rooms.
I wish it would burn down.
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graham
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Post by graham on May 3, 2021 17:54:34 GMT -5
Jim: Not a good thing to say openly. If you had a fire tomorrow and someone from your insurance company somehow saw it...
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MalcolmR
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Post by MalcolmR on May 4, 2021 4:05:43 GMT -5
I'm looking at a 720 sqft house that you can rent from me if you like, Jim. Big it aint. And the yard is about 10 sqft.
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MalcolmR
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Post by MalcolmR on May 6, 2021 12:14:56 GMT -5
One of the things that always surprises British visitors to the USA is to see an article on a shelf of a store labelled $10.00 but you end up being charged $10.80 - "plus tax". (In Britain, and most of Europe, the price on the tag is the price you pay).
What happens in a dollar store? Do they have to make a lot of change?
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Stan
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Post by Stan on May 6, 2021 12:53:28 GMT -5
One of the things that always surprises British visitors to the USA is to see an article on a shelf of a store labelled $10.00 but you end up being charged $10.80 - "plus tax". (In Britain, and most of Europe, the price on the tag is the price you pay). What happens in a dollar store? Do they have to make a lot of change? Yes
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Post by martycanuck on May 6, 2021 13:42:36 GMT -5
One of the things that always surprises British visitors to the USA is to see an article on a shelf of a store labelled $10.00 but you end up being charged $10.80 - "plus tax". (In Britain, and most of Europe, the price on the tag is the price you pay). What happens in a dollar store? Do they have to make a lot of change? I get the inverse in the UK. Sticker shock when I see prices but your VAT is included. If I pay $10 for something here in a store the total is $11.30 after the 13% HST is added. Really just about how people are used to seeing it. Years back when we went from a different sales tax system where there was a hidden Federal sales tax in the sticker and then you paid provincial sales tax (Alberta was the only province without one for a long time) on top of that. When they brought out the Federal “GST” (Goods &* Service Tax) there were two added tax lines on the receipts. Eventually they rolled both the Federal and Provincial into a single “HST” (Harmonized Sales Tax) in Ontario and some provinces. Other provinces still have the split with both. Makes no difference in the final price you pay though.
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graham
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Post by graham on May 6, 2021 15:14:48 GMT -5
I get the inverse in the UK. Sticker shock when I see prices but your VAT is included. An interesting, but little known fact, about UK selling is that a price on an item is not fixed, in law it is an "Invitation to Treat" (as in "treaty") ie make a deal.
Ok, you'd probably not get far trying to haggle in the local supermarket, however it is perfectly possible and permissible to try to negotiate the price of a product down, eg if a shop has a washing machine on display for £300, but there's a mark on it, you could suggest they knock off 10% for "shop soiled" and, depending on how desperate they are to make a sale, you might get it!
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Post by martycanuck on May 6, 2021 16:02:31 GMT -5
I get the inverse in the UK. Sticker shock when I see prices but your VAT is included. An interesting, but little known fact, about UK selling is that a price on an item is not fixed, in law it is an "Invitation to Treat" (as in "treaty") ie make a deal.
Ok, you'd probably not get far trying to haggle in the local supermarket, however it is perfectly possible and permissible to try to negotiate the price of a product down, eg if a shop has a washing machine on display for £300, but there's a mark on it, you could suggest they knock off 10% for "shop soiled" and, depending on how desperate they are to make a sale, you might get it!
Yeah that is also true here.
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MalcolmR
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Post by MalcolmR on May 7, 2021 5:31:15 GMT -5
But you don't want to be buying any of Graham's stock which is 'soiled', not for any price.
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graham
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Post by graham on May 7, 2021 6:26:59 GMT -5
But you don't want to be buying any of Graham's stock which is 'soiled', not for any price. I don't sell products like that, but I know a few Professional Ladies who do...
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Post by martycanuck on May 7, 2021 6:31:49 GMT -5
But you don't want to be buying any of Graham's stock which is 'soiled', not for any price. I was gonna say “Nom Nom!”?
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MalcolmR
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Post by MalcolmR on Jun 14, 2021 16:18:47 GMT -5
A question for you computer geeks. I have an iMac as my main desk-top computer, but I also have an old Acer laptop running Windows 10. This has been getting slower and slower, so today I had a bit of a hunt around to see what was on it. I have found that almost half of my disc is full of what appears to be Apple data. The two units share a router for my Wifi, but I have never intentionally set them up in any formal sort of network. I thought a screen shot of the files might explain it best. Why and how did they get there? Millions of the little f-f-f-fellows. Can I delete them? Will they come back? What are they? Some sort of parasitic back-up?
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Jim
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Post by Jim on Jun 14, 2021 17:54:55 GMT -5
Do you have iTunes installed on the W10 machine and have the same Apple ID signed in?
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MalcolmR
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Post by MalcolmR on Jun 14, 2021 18:19:24 GMT -5
Not that I am aware of.
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Post by martycanuck on Jun 14, 2021 20:01:59 GMT -5
What about Dropbox? They’ve added some back-up feature to Dropbox and when I installed Win 10 on my VM the Dropbox files took like 2 days to sync because of it.
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MalcolmR
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Post by MalcolmR on Jun 15, 2021 2:54:53 GMT -5
Again, not that I am aware of. To be honest, the thing that the W10 machine gets used for most is playing Hangman in the games forum.
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Post by martycanuck on Jun 15, 2021 5:50:21 GMT -5
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MalcolmR
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Post by MalcolmR on Jun 15, 2021 8:15:54 GMT -5
Sorry Marty, that was way over my head. What's staging?
I assume my Mac uses Apple Cloud storage. I know that all my photos get replicated from my computer to my iPhone, which is very annoying because it fills the memory up. I want to store my photos on my computer and on a back-up. Why the hell would I want every photograph I have taken for the last 20 years on my phone? When I try to delete them it warns me that it will delete them from all devices and back-ups. Twats. Who the fuck do they have designing these systems?
/Rant
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MalcolmR
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Post by MalcolmR on Jun 15, 2021 8:47:16 GMT -5
I do have the DropBox icon on the desktop. I clicked it a few times but nothing happened. Eventually a browser opened and it invited me to open a drop-box account. So, presumably, I haven't used it before.
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Jim
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Post by Jim on Jun 15, 2021 10:56:48 GMT -5
assume my Mac uses Apple Cloud storage. I know that all my photos get replicated from my computer to my iPhone, which is very annoying because it fills the memory up. I want to store my photos on my computer and on a back-up. Why the hell would I want every photograph I have taken for the last 20 years on my phone? When I try to delete them it warns me that it will delete them from all devices and back-ups. Twats. Who the fuck do they have designing these systems? On your iPhone, go into settings. At the top of the screen, click on your name. From there, you can go into iCloud settings and disable picture sync. Just know that if your phone goes tits up, any pictures that you haven't done a manual backup of will be lost. You can also go to icloud.com and sign in with your Apple ID to manage storage there.
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Post by martycanuck on Jun 15, 2021 11:15:57 GMT -5
Sorry Marty, that was way over my head. What's staging? I assume my Mac uses Apple Cloud storage. I know that all my photos get replicated from my computer to my iPhone, which is very annoying because it fills the memory up. I want to store my photos on my computer and on a back-up. Why the hell would I want every photograph I have taken for the last 20 years on my phone? When I try to delete them it warns me that it will delete them from all devices and back-ups. Twats. Who the fuck do they have designing these systems? /Rant I dunno for sure but that was one of the folder names so I put it in the Google search and that is what it found for me.
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