Trump Says He May Eliminate Capital Gains Tax On Home Sales In Effort to Bolster the Housing Market; Trump ‘Thinking About’ Ending Capital Gains Tax On Home Sales—Why That Could Impact Millions Of Homeowners

Trump says he may eliminate capital gains tax on home sales in effort to bolster the housing market:

President Trump said Tuesday he is considering eliminating the capital gains tax on home sales — a potentially massive financial break for sellers.

“We are thinking about no tax on capital gains on houses,” Trump told reporters in the Oval Office during a meeting with Philippines President Ferdinand Marcos Jr.

Trump was responding to a question from Real America Voice reporter Brian Glenn, who is in a relationship with Rep. Marjorie Taylor Greene. The Georgia GOP congresswoman recently introduced a bill in Congress calling for the elimination of the tax on home sales.

Minutes earlier, the president had unloaded on Federal Reserve Chair Jerome Powell for not lowering interest rates.

“It’s causing a problem for people who want to buy a home,” Trump said.

“People aren’t able to buy a house because this guy is a numbskull. He keeps the rates too high, and probably doing it for political reasons,” Trump went on, claiming that Powell will be out in “eight months” — despite his term expiring May 15.

The president said the housing market could be unleashed “just by lowering the interest rates.”

Single tax-filers can currently exclude a maximum of $250,000 in capital gains when they sell their homes, a limit that has been in place since 1997. Joint filers can exclude up to $500,000. --->READ MORE HERE

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Trump ‘Thinking About’ Ending Capital Gains Tax On Home Sales—Why That Could Impact Millions Of Homeowners:

Topline

President Donald Trump on Tuesday signaled support for legislation eliminating a capital gains tax on home sales, suggesting a reform on the tax policy—which has gone unchanged for decades—that a National Association of Realtors study found could impact millions of Americans.

Key Facts

• “We’re thinking about that,” Trump told reporters Tuesday in the Oval Office when asked about a proposal to end capital gains taxes on home purchases, though he also alluded to his latest push for the Federal Reserve to lower interest rates, saying, “If the Fed would lower the rates, we wouldn’t even have to do that.” 

• Under current tax law, single filers are exempt from paying taxes on capital gains of $250,000 or less for the sale of their primary residence, while married couples filing jointly are exempt on up to $500,000 of capital gains from the sale of their primary residence. 

• The amount filers can exclude from taxable income on capital gains—the profit after selling an asset—from selling primary homes has not been changed by Congress since 1997. 

• Rep. Marjorie Taylor Greene, R-Ga., earlier this month introduced a bill to eliminate capital gains taxes on home sales, arguing the tax policy is an “outdated, unfair burden—especially in today’s housing market,” prompting early support from Trump, who on July 13 said the legislation would be a “very big positive” and a “great incentive for a lot of people that really need money.”

How Many Homeowners Would A Capital Gains Change Impact?

A recent study from the National Association of Realtors found 34% of homeowners—29 million—own enough equity in their home that they could exceed the $250,000 cap if they sell, while 10%—8 million—may already exceed the $500,000 cap. --->READ MORE HERE

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