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Level 1
February 12, 2026
Question

where do I enter change of circumstance when claiming partial capital gain exemption?

  • February 12, 2026
  • 1 reply
  • 24 views

I bought my house 12/29/23 and sold my house 5/19/25 due to a job change that had us move from WA to ID. This was our first house so we had not sold any other homes in the past. It says I am not exempt but there is nowhere to enter a reason for the move to document change of circumstance. How to I request partial exemption? 

    1 reply

    Level 15
    February 12, 2026

    This is a known issue and is currently being looked into.  In the meantime, here's how you can work around the issue to get the partial exclusion.

    1.  Run Smart Check. You will get an error on the Home Sale Worksheet about "Due to Health/Work." 
    2. Select Yes. Repeat for your spouse if you are filing jointly. 
    3. Run Smart Check again and you will get two more errors, for the number of months that you owned the home and the number of months that you used it as your main home. Enter the number of months for each question. 
    4. TurboTax will then give you the partial exclusion. 
    5. Keep running Smart Check until you don't get any more errors.


     

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