I am a Florida resident. My wife is selling her primary residence in New York. As a consequence, we can not use the $500,000 exclusion, but only $250,000 on her NY State return. She paid $20,000 in 1972, and we have sold 2 weeks ago for $650,000. My question is what expenses may we use to offset the gain? for example .... an addition? potential falling trees removed? patio build? other expenses besides basic Maintainance?
