Tax strategies for selling stocks and invest in property

[Pete Kay]

Hi All,

I’m selling stocks (selling around $500k , around 50% of it is long term gain) to invest in a property. I’m already in high tax bracket ($350k income) . I’m selling mostly long term capital gains but I need to pay 20% on long term cap federal and 13% California effective 33% on my cap gains. Are you aware of any tax strategy in this situation? My CPA sucks , CPA recommendation is appreciated 

[Basit Siddiqi]

@Pete Kay

You may also be subject to the 3.8% net investment income tax which puts the tax at around 37.8%.

You may want to look to seeing if you can invest the gains into a qualified opportunity fund. This would defer and also slightly decrease the tax burden. Something you should talk to your tax adviser about. 

Also - do you have any stocks that decreased in value? you may want to sell some of those stocks to even out a little bit.