3.8 percent sales tax on real estate transactions: Is it true?

Realtors Association wants to clear up confusion

WEST PALM BEACH, Fla. - Dionna Hall with the Realtors Association of the Palm Beaches has spent more than a year trying to clear up the confusion.

"There's a false viral email circulating right now saying that there will be a 3.8 percent sales taxes on all home sales starting January 1, 2013," Hall said.

Another round started circulating this week. The e-mails NewsChannel 5 reviewed point towards the upcoming election, and president Barack Obama's health care bill as a reason for the new tax on homeowners.

"The actual truth is that there will be a tax of 3.8 percent on some investment income. This was buried in the president's Medicare overhaul reform bill," Hall said.

Here are the facts according to the Realtors Association:

The 3.8 percent sales tax hits a slim margin of homeowners.  Only those with an adjusted gross income above $200,000 and couples making more than $250,000. It's on income such as interest, dividends, rent and capital gains. It could include the profits you make when you sell your home.

The Realtors Association is trying to get out the truth, and make clear it doesn't affect all real estate transactions like the emails claim.

Hall said she doesn't know who's behind the e-mails or why.

"It hurts anyone wanting to buy a home these days," Hall said.

She suggested if you see the email, just hit delete.

You can read more about who will have to pay the tax by clicking here . bit.ly/STt4lJ
 

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