@Brandon G J wrote:
Do I have to use my entire gain on a purchase in my new area?
Example: Made $90k on a house in a year, single, and moving for a job from UT to AZ. Do I have to spend the $90k on a house in AZ or can I just move there and rent and still avoid C.G.?
If I do have to spend all $90k to avoid capital gains can I use some of that for repairs/upgrades or does it all have to be for the down payment?
Thanks in advance!
The option to avoid capital gains on the sale of personal residence by purchasing another personal residence for the same or higher selling price of the first residence was removed from the tax code in 1997.
If you are selling your personal residence because of a work- related move then you may be able for a partial exclusion of any gain on the sale.
Go to this IRS Publication 523 Selling Your Home on page 6 for information on a work-related move - https://www.irs.gov/pub/irs-pdf/p523.pdf#page=6
