Hi, so I’ve got a question on capital gains tax. This year we bought and sold a house that my husband remodeled (flipped it). We owned it less than a year so it’s considered short term capital gain. So the internet tells me the profit is taxed as “ordinary income”. My husband is self employed and made around 85k this year. I’m trying to estimate how much we are going to owe because I need to pay our last installment of quarterly estimated taxes (late, I know, it was supposed to be paid in dec). So I know to do approx 15% of the self employment income for self employment taxes. And then for the rest, do I add the profit off the flip house (20k) to the 85k and count our income as 105k? And calculate how much we owe from there?
Hope this makes sense. Thanks.
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