Well it should at least be marginal like tax brackets not just +/- . Say tax starts at 500k. Then for a sale at 510k only that last 10k is taxed. So selling for more still nets more no weird spots where it makes sense to sell for less just to avoid tax.
If there’s a threshold it may convince sellers to stay under it to avoid extra levies, e.g. $500k
Well it should at least be marginal like tax brackets not just +/- . Say tax starts at 500k. Then for a sale at 510k only that last 10k is taxed. So selling for more still nets more no weird spots where it makes sense to sell for less just to avoid tax.