Welcome to our Community.
The capital gains will apply to the sale of home. You can use improvements to decrease the capital gains by adding the improvements to the cost basis. The original cost of the home is the cost basis. If you purchased the home for 100,000, had 50,000 in improvements your cost basis would be 150,000.
https://turbotax.intuit.com/tax-tips/home-ownership/video-tax-deductions-when-buying-or-selling-a-ho...
https://ttlc.intuit.com/community/tax-credits-deductions/discussion/report-sale-of-house/00/93052
https://turbotax.intuit.com/tax-tips/investments-and-taxes/5-things-you-should-know-about-capital-ga...
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
