We lived in our house in GA for 8+ years until 2021 (filed resident tax returns until 2020 and partial resident for 2021 and non resident for 2022 and 2023). Then we moved to VA and put the property for rent until 2024 when we sold the property.
If I'm reading this correctly, the IRS allows exclusion of upto 500K in capital gains if the property was the primary residence in 2 out of the last 5 years and my understanding is that Georgia also follows the same guidelines.
So my question is:
1. Do we owe any capital gains taxes for the sale of the property? What should we tell the closing attorney
2. Do we need to fill out the IT-AFF2 form for non residents, even if we don't own any taxes from the exclusion ? If so what do I fill in to show that we don't owe any taxes?
3. We are already filing non resident returns for GA (from the rental income for the past 3 years), do need to include anything related to the sale of this property?
