It didn’t take long for old rumors to resurface about President Obama’s Affordable Care Act.
When “Obamacare” was first passed the blogosphere was up-in-arms that the AHA included an additional 3.8% tax on any real estate sale, and claimed, “that’s $3,800 on a $100,000 home.”
There were email chains passed along that said that anyone who sold a home would be subject to this tax.
Which is absolutely true, except for the fact that it is complete fiction.
The rumors have long since been debunked, yet after the Supreme Court upheld the Affordable Health Care Act earlier this week, I’ve heard some conservatives once again pushing this narrative.
So kids once more with feeling, “There is no real estate sales tax in Obamacare.”
Now there is an additional capital gains tax included in the Affordable Care Act, and yes it will affect a narrow field of real estate transactions.
But here is what you need to know; the majority of taxpayers will not have to pay it.
So here is the truth, plain and simple. There is a new tax on investment income which will cover the income from interest, dividends, rents, as well as capital gains. It’s not a transfer tax on real estate sales.
While the sale of a home can be subject to this tax, it is only if a number of criteria are met.
If you are a married couple making less than $250,000 or an individual making less than $200,000, then you cannot be taxed.