Submitted By: someone
Answered: April 26, 2018 9:54 pm

I’m a U.S. resident who sold real estate in a foreign country. Is this taxable to me?

U.S. citizens and residents must pay tax on their worldwide income. There is a limited exclusion for earned income (up to $103,900 in 2018), but there is no exclusion for gain on the sale of property abroad.

Tax Glossary

Amount recognized

The amount of gain reportable and subject to tax. On certain tax-free exchanges of property, gain is not recognized in the year it is realized.

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