How to determine cost basis for second home?
Posted: Mon Feb 02, 2015 6:09 am
[h=1]I bought apartment in India in 2004 and I sold in 2014. I was looking into tax paid in India and it has Indexed Cost. Should I use "Indexed Cost" as a cost basis or the "original buy price" for my US tax filing purpose?[/h]
Here is what I see in the tax document (amount is for illustration purpose only)
Sale Consideration (A): 500
Acquisition Cost (Buy Price): 100
Indexed Cost (B1) (100/480*1024): 213
Balance (A-B1): 287
Here is what I see in the tax document (amount is for illustration purpose only)
Sale Consideration (A): 500
Acquisition Cost (Buy Price): 100
Indexed Cost (B1) (100/480*1024): 213
Balance (A-B1): 287