Cindy4
Employee Tax Expert

Get your taxes done using TurboTax

Hi @kwilcoxp !

 

The options to avoid the capital gain tax is to revert it to your 100% primary residence for 2 years, or do a Like-Kind Exchange.  The rules for the Like-Kind Exchange are strict.  Here is some information on it:

https://www.irs.gov/businesses/small-businesses-self-employed/like-kind-exchanges-real-estate-tax-ti...

https://www.irs.gov/pub/irs-news/fs-08-18.pdf

 

Also, when you do dispose of the property be sure to include everything possible in your basis calculation.  Here is a guide for that calculation.

 

Hope this helps!

Cindy

https://www.irs.gov/faqs/capital-gains-losses-and-sale-of-home/property-basis-sale-of-home-etc/prope...

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