DWoods
Level 1

My brain isn't working well--

if you bought a rental property for $150,000, and a few years later sell it for $300,000

(not adding/subtracting costs and basis here), you have a profit of $150,000.

However, you still had a loan of $90,000.  Do you subtract the amount of the loan from the profit  to get to the net profit you pay taxes on?

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