TomD8
Level 15

Get your taxes done using TurboTax

Your capital gain is your net sale proceeds less your "adjusted cost basis" in the home.  Your adjusted cost basis is the original cost of the home, plus the cost of any capital improvements you've made to the home since purchase.  A capital improvement is something that materially improves the value of the home, such as a room addition or a kitchen remodel.  Repairs are not capital improvements.

 

You can see the 2019 capital gains tax rates here: https://www.nerdwallet.com/blog/taxes/capital-gains-tax-rates/

 

Of course, if the house was your primary residence, you may qualify for a capital gains exclusion, as detailed by @xmasbaby0.

 

**Answers are correct to the best of my ability but do not constitute tax or legal advice.