"Susan C." <cummins7[at]mindspring.com> wrote:

- quote -

You couldn't anyway.

- quote -

No. You cannot finance just the gain. The downpayment
portion of what you receive has to also be split into
principal and then into basis and gain.

--
David M. Woods, EA
Boston, MA 02109

Postings here are general information only and not to be
relied upon as advice.

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Susan C. <cummins7[at]mindspring.com> wrote:

- quote -

Yes, this is known as an Installment Sale and, indeed, you
can calculate the gain now but declare its income as
received over the years. Since you have some doubts as to
how it works, you would probably benefit from advice of a
local tax professional.

__
Art Kamlet ArtKamlet [at] AOL.com Columbus OH K2PZH

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I have a buyer interested in my property and have been
offered $40,000 over what I paid for it a year ago. It's
a complicated transaction with two structures on the
property, one of which I will continue to live in and
rent from the new owner. Because I'm not interested in
moving, I can't roll over my gains into another piece of
property. I've been told that if I finance the $40,000
for the buyers, I will only have to pay capital gains
taxes on the gain (principal and interest) as it comes
in over the life of the deal. Is this true?

Thanks.

Susan

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