@CitizenGain wrote:
Thank you for your response.
Is there a way to get the details for why the gains were less than 250k?
I entered the requested information and the sale seems to have not been reported. If State asked me later for proof that it was under 250k, what should I give them?
Gain or Loss on the sale of a personal residence is calculated as Sales Price minus Sales Expenses minus Adjusted Basis
Sales Expenses usually are Realtor commission and payments made by the seller on behalf of the buyer.
There is no tax deduction for transfer taxes, stamp taxes, or other taxes, fees, and charges you paid when
you sold your home. However, if you paid these amounts as the seller, you can treat these taxes and fees as selling expenses
Those will be shown on your HUD statement received at closing.
Adjusted Basis is your original Purchase Price plus the cost of improvements made to the residence prior to the sale. You should have a Security Deed with the purchase price and you should have some type of proof, ie receipts for the improvements
