Yes, that is correct. As @leeloo mentioned, you may only qualify for a partial exclusion due to selling the home for some unforeseen reason.
You’re only allowed to exclude gain on the sale of a home once every two years. This is true unless the reduced gain exclusion rules apply. You usually can’t exclude the gain on the sale of a home if both of these apply:
- You sold another home at a gain within the past two years.
- You excluded all or part of that gain during the two-year period ending on the date of the sale.
If you can’t exclude the gain, include the entire amount in your taxable income.
For more information
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
