Question:

In group 5 now but sold a old shop building at a loss for 65,000.  How will this effect my group rating ? and will it go back to 5 next tax year?  thanks.

Jim's Reply:

Yes, you're probably correct but the only way to be sure is to wait for VA to assess it all and then we'll see. 

The Priority Groups were an idea developed to try to make sense of who to schedule for what, when. Today they're still in place, like laws affecting the use of buggy whips in public, nobody pays much attention to the priority group for scheduling appointments or what have you.  Yours may get adjusted to zero pension dollars because of  the  income boost since the pension is means tested. That would mean that your priority group would probably change for that tax year...if anyone at VA got around to updating it, a process that can take years.  But since you sold it at a loss, a CPA may be able to show that your income didn't rise above the pension level and nothing will change for you.