I am finding it extremely difficult to get an answer to this question. I can understand if its not possible to give me an exact number but I am just trying to figure out, roughly how much I will be paying in capital gains tax on a property I am selling in Phoenix AZ. My situation is this:
I bought a home in October of 2010 for about 107,000. I lived in the home for one year, and in October of 2011 I quit my job and moved to Colorado with a friend. I rented the house out in November of 2011 until the end of December of 2012. For the year 2012, I did not have a job and made no money. From January 7th to 31st I worked and made about $1000 before leaving the company.
The home I am selling was bought as a two bedroom, but this last week I added a third bedroom, costing me about $3000. So I currently owe about 102,000 on the home and will be selling it for 150,000. How can I figure out what I will be paying in capital gains tax? Would someone know how much based on the information I have provided. Any help would be greatly appreciated.