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Deductions & credits
Generally, a homeowner must own and live in the home for two out of the last five years to qualify for the $250,000 ($500,000 if filing a joint return) exclusion for capital gain on the sale of a primary residence. However, there is an exception to the two-year rule for tax payers who sold early for a job-related move. You meet the standard requirements if any of the following happened during the time you owned and lived in the home you sold:
- You took or were transferred to a new job in a work location at least 50 miles farther from home than your old work location.
- You had no previous work location and you began a new job at least 50 miles from home.
- Either of the above is true of your spouse, a co-owner of the home, or anyone else for whom the home was their residence.
If you meet this and the other requirements for the capital gains exclusion, you're entitled to a percentage (in your case, 75%) of the exclusion amount.
Please follow this link for more information. https://www.irs.gov/uac/about-publication-523
May 31, 2019
11:52 PM