Taxes Selling After Cash Out Refinance

[Ben Hudman]

I bought this property for 80,000. It appraised for 171,000 and I took out 137,000 and paid off the 80,000 mortgage and kept the rest to reinvest (57,000). I was wondering if I sold the property for 185,000 if I would end up paying taxes on the 185,000 less the 80,000 or 185,000 less the refinanced mortgage of 137,000. Any input would be appreciated. I am waiting to hear back from my CPA and understand all advice I get is just individual input. However, I am curious to hear what y'all have to say about it.