CA Capitol Gains

[Matt Y.]

So, I'm sure that this is going to reveal my "newb-ness" but I'm told there are no stupid questions. I thought we're in the trust nest, are we not?

As far as I know, in CA you must live in a purchase as your primary residence for a minimum of two years in order to avoid the stupid 30% CG's right?

Do you flippers out there just simply bite the bullet on this since you're still left with 70% of whatever you profited? Or are there tricks of the trade that I need to learn about? Are there at least some ways to help minimize this blow? Because I'd much rather only put say, 10% towards Obama's jetfuel/holiday fund if at all possible...

[Bill Gulley]

Ryan, if it is your residence the liability is limited, if you are in business selling apples or iPods or houses, it's business income and such is treaded as such. You can't apply personal type exemptions to an ongoing business income earned, if that were the case I'd apply the million+ from estate exemptions to my business income.

Pay unto Caesar what is Caesar's!