M-MTax
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if the trust happens to be a grantor trust, then it is disregarded for federal income tax purposes and, therefore, the transaction is treated as if you (and your spouse?) sold the house as individuals.

 

As a result, you may qualify for the home sale exclusion per Section 121-1.1(c)(3).

 

See https://www.law.cornell.edu/cfr/text/26/1.121-1