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Tax Law (Questions About Taxes)/Hiring a lawyer when I sell my house

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Question
Hello Mr. Stancil, First of all thank you in anticipation of your time. I reside in Virginia and will soon be selling a house I've owned in New York for many years. My question is two-fold.
1- Should I hire a NY based CPA or one in Virginia to deal with my Capital Gains Tax and return? I'm guessing Federal law is such that I can hire a CPA in Virginia to handle my Capital Gains issues and tax return from selling my NY house. Do you agree?
2- Should I hire a lawyer during the sale of said house and should I hire one locally where I reside in Virginia or one in NY?

Answer
Richard,

Thanks for your question.

A good CPA or Enrolled Agent should be able to handle your tax situation, regardless of where they are located. Since you are a resident of VA and the house is located in NY, you will have to report the sale as a NY non-resident as well as report it on your VA return.  VA will give you a credit for tax paid to NY.

Since the sale is of a house, the transaction is not usually very complex.  If you are dealing with a real estate agent, they could arrange for an attorney at the closing.  If, however, you feel the need for an attorney, I would use one in NY, as they would be more familiar with NY real estate laws.

Hope this helps.

John Stancil, CPA  

Tax Law (Questions About Taxes)

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John Stancil, CPA

Expertise

I can answer questions on personal income taxes, partnerships, and some corporate income taxes. I can deal with some state tax questions. Limited gift and estate tax questions. I am also familiar with ministerial and church tax reporting issues. I am Professor Emeritus at Florida Southern College. Sales taxes and property taxes are state and local issues so I am not likely be be able to give you an in depth answer on those types of taxes. I have maintained a CPA practice, specializing in tax, for over 35 years. I am a member of the National Association of Tax Professionals, The Florida Insititute of CPA's, The NCPE Fellowship. In addition I am a Certified Mentor for SCORE. Visit my website at www.mybaldcpa.com. I also offer seminars and consultations to churches and clergy on their tax issues at www.churchtaxsolutions.com Also visit my blog, www.thetaxdocspot.com. I am listed on Tax Connections at https://www.taxconnections.com/profile/John-Stancil/12258973 Prepare and file your own taxes at www.1040stancilcpa.com

Experience

I hold a doctorate in Accounting, and am a CPA. My certifications of CIA, CFM, and CMA are inactive. I passed all certification examinations on the first attempt, and received honorable mention for my scores on the CIA exam. I have operated a CPA firm for over 37 years and have taught accounting and tax at the college level for over 35 years.

Organizations
FICPA, NATP, NCPE Fellowship, Lakeland Business Leaders

Publications
The CPA Journal, Florida CPA Today, Green Consumer, Green Business, Global Sustainability as a Business Imperative, Palmetto Review, NATP TaxPro Quarterly, Mustang Journal of Finance and Accounting.

Education/Credentials
DBA University of Memphis MBA University of Georgia BS in Accounting Mars Hill University

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