Deductions & credits

@angeliagblin 

yes, TurboTax includes the calculations for non-qualified periods of ownership.  The calculation is also contained in the worksheets in publication 523. The difficulty is the last time publication 523 actually tried to explain the calculation was about 2013. Since then the worksheets include the calculation, but the publication doesn’t try to do a good job to explain the issue.

 

basically, if you move out, and sell within three years so that you meet the two out of five rule, the period of time when you did not live in the home before selling is still considered qualified. But if you move back into the home before selling, then the period of time when you were not living in the home is not qualified. The exclusion is meant to protect homeowners, not give a tax break to landlords by allowing them to move back into their home for two years and then being able to exclude all of the gain from when they were a landlord/investor. 

[Edited to add: As @Anonymous_  says, you are not eligible for any exclusion as things stand.  If you moved back into the home and used it as your main residence for 2 years before selling, you can use a partial exclusion and TurboTax will perform that calculation.]