Hello,
There are actually 2 parts to this answer.
The first deals with home exclusion. If you have owned your home at least 24 months out of past 5 years and lived in it as a main residence for 24 months out of past 5 years you may qualify for exclusion of income.
It is currently $250,000.00 Long Term Capital gain if MFS and $500,000.00 If Married Filing Joint. There are some other situations and you can read more in depth using the following link.
https://www.irs.gov/publications/p523#en_US_2022_publink10008937
The answer for the state question all depends on rather you believe you will have a gain after the exclusion.
I hope it helps, please let us know if you have any additional questions.
Enjoy your day!!
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
