2006-09-17 14:00:17 · 7 answers · asked by lindas_cricket 1 in Business & Finance ➔ Taxes ➔ United States
You may exclude from reportable gain $250,000 for single taxpayers or $500,000 for those married if you have lived in the property as your main home for 2 years. The 2 years need not be continues but must have occurred with in the five year period ending on the date of sale. Gain is basically the difference between what you paid for the property and what you sold it for less the cost of sale and improvements you made while you owned the property. Age of the property owner has nothing to do with this exclusion and you can currently do this as frequently as you and the property qualify for the 2 years as primary home
2006-09-17 15:12:17 · answer #1 · answered by ? 6 · 2⤊ 0⤋
Mathew answer is the most accurate, except for the part that you can do this frequently , because one of the requirements is that you (or your spouse if MFJ) haven't excluded gain from another main home sold within two years before the sale of this home.
2006-09-18 11:58:45 · answer #2 · answered by NANA 3 · 0⤊ 0⤋
According to current tax law, if you have lived in a house that has been your personal residence for three of the past five years, and are married, you can exclude up to $500,000 of the gain. If you are single, you can exclude up to $250,000 of the gain.
2006-09-17 21:05:30 · answer #3 · answered by Linda 2 · 3⤊ 1⤋
There is a one time exemption for older people when selling a house. There is always a dollar limit, but it is good for most of us poor schmucks.
go to IRS pub index, and download Pub 17, then look in index.
2006-09-17 21:16:22 · answer #4 · answered by retiredslashescaped1 5 · 0⤊ 2⤋
Dont sell before 5 years.
2006-09-17 21:23:06 · answer #5 · answered by linluv2001 2 · 0⤊ 2⤋
Yes, and the capital gains tax exemption has gone steadily up. Used to be 250K, I think my mom told me it was now a million. But you want to check with a CPA or tax atty to make sure.
2006-09-17 21:02:37 · answer #6 · answered by finaldx 7 · 0⤊ 2⤋
no,. you will always have capital gain taxes.
2006-09-17 21:01:57 · answer #7 · answered by Trollhair 6 · 0⤊ 2⤋