Capital gains - primary residence

[mikeb]

Wheres a good source for info on "capital gains on primary residence"?

I've heard that there is a way to claim a rental, that you own, as your primary residence for capital gains purposes. True?

Thanks.

[grumpy]

Call your accountant. I know of no documents on the internet but there are many loop holes in capital gains laws.

One is setup a corporation or LLC then anticipate how much money you will earn, and how long it will take to build. Now pay yourself a salary at that ammount. Personal income is taxed less than capital gains.

Another loop hole is to buy the building and sit on it for a few years, renting it out makes the most sence. Then tear it down and build your new building so that it's completion date is after the capital gains time frame. (2-3 years?)