IRS Publication 523 says:
"If you didn’t meet the Eligibility Test, then your home isn’t eligible for the maximum exclusion, but you should continue to Does Your Home Qualify for a Partial Exclusion of Gain ."
Since the two-year look-back is part of the Eligibility Test, I believe that failing it would not disqualify the taxpayer from taking a partial exclusion.
I also believe that the qualifying job transfer does not have to be involuntary. The IRS language is "You took or were transferred to a new job..."
**Answers are correct to the best of my ability but do not constitute tax or legal advice.
