Installment Sale - Short Term vs Long Term Cap Gain

[moosfin@mt.net]

If real property is held for less than one yr and sold on an installment sale, is all of the capital gain in future years still short term or does the gain change to long term once the one year mark is passed

[DonB]

Short term---

[Roland Slugg]

The short-term/long-term classification depends on how long the taxpayer owned the property that was sold, not how long it takes to collect the sale proceeds.

[taxea]

Roland is right...the sale date is the contract date regardless of how long the debt is.