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Tax Law (Questions About Taxes)/Tax advice on sale of second home

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Question
HELLO MR.MCCONNAUGHY, 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
You don't believe me fo you???

Have you Google barker yet?



The reason I told you to look up a google result is that people who own property in New York are deemed to be NEW YORK RESIDENTS and MUST PAY NEW YORK RESIDENT TAX - EVEN IF THEY LIVE IN VIRGINIA SINCE 1992!  


http://www.nysscpa.org/ezine/ETPArticles/2012/32212/barker.htm

Barker was a resident of New Canaan CT and had a small summer place that they went to for several weeks a year - that was enough to get them into NY resident status. This has been confirmed for a guy who owned his parent's house in Staten Island and never ever ever went there.  (as is your case).

I was trying to save you a little heartache by making you look up the answer and generating an a ha moment.

As much as you dont like the answer (think about mr barker who had an over $1m wall street bonus at question)...  ALL your VIRGINIA non wage income will be apportioned to New York over the last 24 years.

Like I intimated - you need help and need it FAST>  sorry you thought I was not knowledgeable or thought that you knew more about tax law than me (did you even do the google search?)

yes, it sounds incredible but it is quite unfortunately for you and mr barker very true and real.  

good luck if you dont address this (i suggest to most of my clients to follow the New York voluntary disclosure process and pay 3 years of tax on the non wage income. if your cap gains, interest and dividends are not very much than no harm no foul).  Failure to address it leaves you open to assessment and penalty and interest for ever.

seriously.  



Either should be good

But you should have been filing taxes all along in ny.

Google "barker tax appeal new york resident tax"

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Don't try to fly a plane solo.

Tax Law (Questions About Taxes)

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Expertise

Tax and general business including hospitality related (hotel mgmt degree and experience in industry prior to obtaining ms tax and cpa).

Experience

19 years cpa. ms tax. NOTE: My discussions are only a general information and do not constitute tax advise without entering into a specific agreement and executing an engagement letter; This free chat is nothing more than general information and should not be construed as tax advice nor does my response or replies imply an agreement to provide client specific advice or other guidance for purposes of avoiding IRS tax or penalties and should not be relied upon without your own validation and confirmation of the how the discussion may fit your facts... Not having all the facts and/or not having a direct client relationship prevents me from providing the most accurate replies as possible and I highly suggest using a local CPA to provide you with written advice and guidance. Taking matters into your own hands is much akin to trying to land an airplane without a license. It is easy to FLY a plane, but LANDING is when critical experience is key. In short, caveat emptor; do your homework and don't just rely on free chat board advice anywhere, anytime.

Organizations
AICPA, CSCPA (Ct society), National Tax,

Publications
a bunch.

Education/Credentials
MS tax and other post graduate coursework

Awards and Honors
variety including Summa Cum Laude

Past/Present Clients
I don't disclose or kiss and tell

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