Why are Hollywood Stars selling their homes | Kylie Jenner | Jim Carrey | Jagran Business- Watch Video

Hollywood stars in the US are selling their ultra-luxury apartments before April 1 as the 'mansion tax' in Los Angeles is set to come into effect from early next month. Celebrities who have sold their luxury apartments include Jim Carrey, Britney Spears and Kylie Jenner, who have put their properties on the market in recent months. Experts say that the effort of the stars is to book their profits before tax.

Jim Carrey has listed his 12,700-square-foot home for $29 million, Britney Spears' 11,650-square-foot home for $12 million, and Kylie Jenner's Beverly Hills home for $33 million, reports the New York Times.

What is Mansion Tax?

According to US media reports, the mansion tax is levied on ultra-luxury apartments. If someone sells a property worth more than $5 million, the seller will have to pay a four percent transfer tax on that. Whereas, if the price of a house exceeds $10 million, the seller will have to pay a 5.5 percent tax. At present, the transfer tax is 0.45 per cent.