Rule of thumb for taxes on flip

2 Replies

I know there is a huge spectrum for what tax you will owe on a flip but can someone provide any guidance on what rule of thumb I can use when modeling my profit on a deal? Is it simply my marginal rate on the gain (sale - purchase price - expenses - improvements - interest paid)?

I like to make sure I'm level set on what the real net net profit should be so my expectations are not dashed come tax time.

Thanks!

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