Tax implications of condo flipping

Thanks to a reader for passing along this MSN Money article When you — and the IRS — flip a condo:

My friend Jimmy keeps telling me, “You can’t go broke taking profits.” And, he’s right. But it’s not what you make that counts — it’s what you keep. If you’re one of those lucky people who sold a condo almost as quickly as you bought it, I hope you thought about how much you could end up paying the IRS.

It could be a lot.